Direct Cash Transfer snippets

Around 10 lakh kirana shops are going to become the backbone of UPA government’s direct cash transfer (DCT) for subsidy schemes. The government has decided to involve these stores across the country giving them micro ATMs and a commission of 3% on the value of cash transactions.
To be rolled out in more than 51 districts in 18 states from next month as a pilot, the cash distribution network will engage, besides the kirana shops, one lakh bank branches, post offices (1.5 lakh), fertilizer sale centres (1.5 lakh) and banking correspondents (1 lakh), sources said. Anganwadi and Asha workers will double up as banking correspondents, and will be given commission as applicable.
Dubbed as the “gamechanger” scheme, giving kirana shops and anganwadi workers an additional source of revenue will help the government counter the opposition’s onslaught on FDI where the latter had been arguing that allowing foreign retailers to open shops in India will lead to large-scale unemployment in neighbourhood mom and pop shops. The government banks have been asked to open at least one bank account for each household in the 18 states, where the scheme is being rolled out as a pilot. By 2016, the government hopes the entire country can be networked through the distribution system.
Finance minister P Chidambaram had earliersaid that initially the Aadhaar-based DCT into the beneficiaries’ accounts will be applicable only on 34 Centrally-sponsored schemes such as pension, rural employment guarantee scheme and scholarships, etc. However, this would not include cash transfer on food, fertilizer and petroleum/LPG subsidies.
The government has already instructed banks to rollout appropriate banking facilities in unbanked habitations.