Digital Revolution: Transforming Food Subsidy Distribution with CBDC

Union Minister Pralhad Joshi on Thursday praised Prime Minister Narendra Modi's digital revolution, highlighting the implementation of a Central Bank Digital Currency (CBDC)-based food subsidy project in Puducherry. He emphasized the system's transparency in ensuring that entitlements reach the appropriate beneficiaries without slippage or corruption.

The CBDC initiative enhances the Direct Benefit Transfer (DBT) system, allowing Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) beneficiaries to receive secure digital cash, streamlining fund distribution. Joshi noted the digital India concept's pivotal role in transforming subsidy delivery through public distribution, marking significant reform.

The project, implemented by the Union Ministry in partnership with the Puducherry government and financial institutions, signifies a new chapter in food security, offering transparency and minimizing corruption risks. This initiative aligns with the Prime Minister's vision of a 'Fit India' and broader efforts to alleviate poverty.