The full form of DBT code is Direct Benefit Transfer code.
Direct Benefit Transfer (DBT) is a welfare scheme initiated by the Government of India. This scheme aims to directly transfer subsidies, scholarships, and other benefits to beneficiaries' bank accounts. The primary goal of DBT is to reduce corruption, eliminate intermediaries, and improve the efficiency of welfare programs.
Key Objectives of DBT:
- Reduce Leakage: Minimizes corruption and diversion of funds.
- Improved Efficiency: Streamlines the process of transferring benefits.
- Empowerment: Directly empowers beneficiaries financially.
- Transparency: Increases transparency in welfare schemes.
- Eliminate Duplicate Beneficiaries: Removes ghost beneficiaries.
How DBT Works:
- Beneficiary Identification: Beneficiaries are identified and their details are entered into a database.
- Aadhaar Seeding: Beneficiary accounts are linked with Aadhaar numbers (where applicable and permissible).
- Fund Transfer: Government departments directly transfer funds to the beneficiaries' bank accounts through various channels like NEFT, RTGS, or IMPS.
- Monitoring: The DBT portal allows for tracking and monitoring of fund transfers.
Benefits of DBT:
- Timely Transfers: Ensures that beneficiaries receive funds promptly.
- Reduced Corruption: Eliminates middlemen, reducing opportunities for corruption.
- Financial Inclusion: Promotes financial inclusion by encouraging beneficiaries to open bank accounts.
- Improved Targeting: Helps in better targeting of beneficiaries and reduces exclusion errors.
