Aadhar-linked 'game-changer' cash transfer scheme to start Jan 1: Chidambaram

The scope of schemes to be covered under the programme will be expanded later, Chidambaram said while addressing the press conference at AICC headquarters.

He said the government has identified "the smaller number of schemes" which are "amenable to transfer to bank accounts".

On bringing beneficiaries of food and fertiliser subsidy under the ambit of this programme, he said these involved "complex and difficult" issues which needed to be addressed.

He said the government was deliberately not rolling out the programme in a whole hog manner but with "caution and prudence" so that it does not "stumble and fall".

For the roll-out, the data base of the beneficiaries will be digitised by the respective ministries and money will be reach the targeted people through "business correspondents", who will include women self-help groups, panchayats or even individuals like a school teacher.

"It is possible that one or two schemes may start a few days or a couple of weeks late. But ultimately we want to load all these schemes on the system. Out of the 42, we think about 29, give or take one or two, will be ready," Chidambaram said.

At present, government operates about 42 schemes, of which 29 would be covered by the cash transfer scheme that is to be launched from January 1, 2013. The second roll-out to cover more districts would be launched in April 2013.

The Prime Minister yesterday directed all the ministries concerned to work in close coordination to ensure success of the scheme.

Chidambaram said in the later phase the benefits of the direct cash transfer would be made available for subsidies which are given for food, fertiliser and petroleum products.

The cash subsidy, he said, would be given to the beneficiaries having Aadhaar-enabled account number through the bank branches or banking correspondents.

... contd.

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