November 28, 2012 1:54 PM

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Direct cash transfer under 29 welfare schemes will eliminate leakages and misuse of funds: Chidambaram

Millions of people will get benefits under 29 welfare schemes by the roll out of direct cash transfer through their Aadhar-enabled bank accounts in 51 districts across the country from 1st January next year.

Briefing the media in New Delhi on Tuesday, Finance Minister P.Chidambaram said, 42 schemes have been identified for the Aadhar-linked direct cash transfer that would eliminate leakages, duplication and misuse of cash benefits extended by the government to the people.

Mr Chidambaram said 29 schemes are ready to be rolled out on 1st January, 2013. Mr. Chidambaram said that the second roll-out to cover more districts would be launched in April 2013.

The beneficiaries in villages will also be able to withdraw their cash through miniature hand-held mobile ATMs using ATM cards of their bank accounts. He said, the infrastructure is ready and the ministries have been asked to finalise database of beneficiaries.

The Finance Minster said, banks and the state governments have been sensitized on the electronic transfer of cash. He said, food and fertilizer subsidies have not been included as of now.

Rural Development Minister Jairam Ramesh said, through direct cash transfer, beneficiaries including pensioners, the poor and underprivileged will be benefited.

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