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INDIA INDIA · 1 MIN READ

Direct fund transfers saved government ₹5 lakh crore from leakages, PM Modi says

Prime Minister Narendra Modi stated at the India Mobile Congress 2026 that nearly ₹5 lakh crore was saved from government leakages due to the Direct Benefit Transfer (DBT) system.

Prime Minister Narendra Modi stated at the India Mobile Congress 2026 that nearly ₹5 lakh crore was saved from government leakages due to the Direct Benefit Transfer (DBT) system. He highlighted that ₹50 lakh crore has been transferred directly to beneficiaries through mobile-linked bank accounts, ensuring funds reach their intended recipients, according to livemint.com.

Modi explained that under the old welfare delivery system, government benefits and subsidies passed through multiple intermediaries, leading to significant leakages. The DBT mechanism, leveraging digital technology and mobile-linked bank accounts, has eliminated these intermediaries, allowing direct transfers to beneficiaries. The prime minister emphasized that this shift prevented ₹5 lakh crore from falling into the wrong hands, as reported by livemint.com.

This development underscores the impact of digital governance in India’s welfare system, reducing corruption and improving fund utilization. The DBT system’s scale, with ₹50 lakh crore transferred directly, marks a significant shift from previous methods. It aligns with broader government efforts to use technology for transparency and efficiency in public service delivery, as detailed by livemint.com.

The government’s adoption of DBT has transformed welfare disbursement, with ₹50 lakh crore transferred directly to beneficiaries’ accounts, according to the prime minister’s address at the India Mobile Congress 2026, livemint.com reported.

Editorial standards. Reported and edited at Startupniti's news desk from the sources listed in the right rail. Every fact traces to a citation. If something looks wrong, write to corrections.
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