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Missing the masses-Manu Moudgil

-The Hoot The media welcomed the UID's promise of giving an identity to those outside the system, but has failed to track its failure to do so. On January 1, the Indian government announced roll out of its ambitious cash transfer scheme  in 20 districts of the country based on unique identification (UID), also called Aadhaar. The media, while presenting the pros and cons of cash transfer, also mentioned that...

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A 'Cost-Benefit' Analysis of UID-Reetika Khera

-Economic and Political Weekly A cost-benefi t analysis by the National Institute of Public Finance and Policy of the benefits from Aadhaar integration with seven schemes throws up huge benefi ts that are based almost entirely on unrealistic assumptions. Further, the report does not take into account alternative technologies that could achieve the same or similar savings, possibly at lower cost. Reetika Khera (reetika.khera@gmail.com) is at the Institute of Economic Growth on...

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Government pushes banks to go rural, but will it pay?-Swati Pandey and Rajendra Jadhav

-Reuters RANCHHODPURA, India (Reuters) - Working out of a tiny rented room furnished with a wooden table, small biometric authentication machine and shelf stacked with passbooks, Ganesh Dangi is a one-man bank for a village of 650 people in northwestern Rajasthan. A business correspondent, or local representative, for State Bank of Bikaner and Jaipur (SBBJ) in Ranchhodpura village, 40 km (25 miles) east of Udaipur, Dangi is racing to sign up villagers...

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3.5 crore MGNREGA post office accounts can now be used for cash transfers -Priscilla Jebaraj

-The Hindu With a single stroke, the government has made over 3.5 crore existing post office accounts ready for its new Aadhaar-linked cash transfer scheme. The accounts, which belong to MGNREGA workers over the country, were originally to be used only for receiving wages under the rural employment guarantee scheme. However, the government has now woken up to the potential of using the ready-made network of accounts to directly transfer benefits such...

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Is UID-linked cash transfer a good idea?-Sreelatha Menon

-The Business Standard Reetika Khera Professor, Indian Institute of Technology, Delhi* “Aadhaar is being made de facto compulsory for welfare schemes. With two-thirds without Aadhaar, they are bound to be denied entitlements” There are three components of the government’s direct benefit transfer scheme — computerisation, extending banking services and linking the benefits with Aadhaar. The real game-changers are the first two, whereas Aadhaar-enabled transfers carry the risk of excluding current beneficiaries. The Central government has...

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