This has been revealed by the policy paper titled a Quantitative Assessment of India’s DBT System.
Other Key findings
- Increased coverage: Coverage of beneficiaries has increased by 16 times improving welfare delivery.
- Welfare Efficiency Gains: Welfare Efficiency Index (WEI) rose from 0.32 (2014) to 0.91 (2023).
- WEI assess the impact of the DBT system, it is driven by DBT Savings (50% weight), Subsidy Reduction (30% weight) and Beneficiary Growth (20% weight).
- Subsidy share in total expenditure reduced: 16% in pre-2013 to 9% in 2023–24.
- E.g. ₹1.85 lakh crore saved in food subsidies via Aadhaar-linked PDS.
About DBT Initiative
- Genesis: Initiated in 2013.
- Aim: Reforming Government delivery system by re-engineering the existing process in welfare schemes and ensure accurate targeting of the beneficiaries, de-duplication and reduction of fraud.
- Implementation: Initially under the Planning Commission but now placed under Cabinet Secretariat.
- Key Features:
- Aadhaar is not mandatory in DBT schemes but it is preferred.
- DBT key enabler is JAM trinity (refer to image).
- Electronic Payment Framework is applicable on all Central Sector (CS)/ Centrally Sponsored Schemes (CSS) and for all schemes.
