CBDC-Based DBT for Food Subsidies

On 14th August 2026, the Centre launched a Central Bank Digital Currency (CBDC)-based Direct Benefit Transfer (DBT) mechanism under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) in Chandigarh and Dadra & Nagar Haveli.

  • The initiative enables eligible beneficiaries to receive food subsidies through programmable Digital Rupee tokens.

Key Features

  • First UTs: Chandigarh and Dadra & Nagar Haveli became the first Union Territories(UTs) to provide food subsidy to all eligible PMGKAY beneficiaries through CBDC-based transfers.
  • Digital Wallets: Subsidies are transferred directly into beneficiaries’ CBDC wallets, reducing dependence on conventional bank-account transfers.
  • Programmability: Digital Rupee tokens can be designed with specified conditions governing their ....
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