The Indian government's strategy to trim any leakages in the subsidies provided to the citizens using digital transfers through the Direct Benefit Transfer route has helped it save as much as Rs 1.41 trillion as of 31 March 2019.

The DBT scheme was implemented on January 2013 to reduce leakages in the country's subsidy system by transferring money directly to genuine beneficiaries and eliminating middlemen.

According to government data, Rs 7.33 trillion was transferred to the bank accounts of the beneficiaries in the last five years.

Subsidies have been one of the main contributors to the country's fiscal deficit. A fall in the expense will help India improve its sovereign ratings.
There are 439 subsidy-based schemes in India where benefits are transferred through the DBT.

In 2018-19, as many as many as 59 crore individuals has the benefits of these schemes transferred directly to their bank accounts, the data showed. In the same financial year, the government saved Rs 516.64 billion.

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