Reforming the government delivery system through the Direct Benefit Transfer Scheme is a progressive step, but it has limitations too. Comment. (150 words) [2022]

Reforming the government delivery system in India through the Direct Benefit Transfer (DBT) Scheme is indeed a progressive step, but it has its limitations too. The following points highlight the advantages and limitations of the DBT scheme:

Advantages:

  1. Reduces leakages: DBT eliminates intermediaries and directly transfers benefits to the beneficiaries’ bank accounts, reducing leakages and fraud.
  2. Transparency: The scheme increases transparency in the distribution of benefits.
  3. Time-bound transfers: DBT allows for time-bound transfers, avoiding delays in transferring money.

Limitations:

  1. Dependence on technology: DBT relies heavily on technology, requiring beneficiaries to have access to a bank account and a mobile phone. This may exclude certain segments of the population, such as the elderly or those living in remote areas.
  2. Incomplete coverage: The DBT scheme may not cover all social welfare schemes and benefits, leading to confusion and duplication of benefits among beneficiaries.
  3. Administrative challenges: DBT involves a complex process of linking beneficiaries’ bank accounts and mobile numbers to their entitlements, requiring coordination between various government agencies and banks. This can lead to delays and errors in the delivery of benefits.

In conclusion, while the DBT scheme is a progressive step towards reforming the government delivery system, it also has its limitations. Addressing these limitations and ensuring a more inclusive and efficient system is crucial for the success of the DBT scheme in India.

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