Aadhaar to help govt save Rs Rs 60,000 crore annually: Montek Singh Ahluwalia

Written by fe Bureau | New Delhi | Updated: Jan 14 2014, 18:18pm hrs
The Centre on Monday said that it would end up saving over R60,000 crore annually by using Aadhaar-linked payment system for disbursal of all forms of subsidy.

Various studies show that there are leakages to the tune of 20-40% in distribution of subsidy. On a total subsidy outgo of about Rs 300,000 crore, even if we are able to plug leakages to the tune of 20% using Aadhaar, the savings of Rs 60,000 crore could be made, Planning Commission deputy chairman Montek Singh Ahluwalia said.

He was speaking at a press conference organised to announce soft launch of Aadhaar-linked disbursal of salary to the employees of Trident Group the first corporate sector initiative on Aadhaar payment bridge in India.

At present Aadhaar-linked direct benefit transfer scheme is being under taken in case of few minor government subsidy programme and for providing subsidy directly to beneficiary accounts in case of domestic LPG cylinders.