Transfer of subsidies and welfare benefits through the Direct Benefit Transfer (DBT) system has reached Rs 2.08 lakh crore so far in the current financial year, with fertiliser, food and a range of welfare and rural-development schemes accounting for the bulk of the payouts.
Fertiliser subsidy is the largest component, with DBT-linked transfers of Rs 63,984 crore so far in 2026-27 (April-March). It is followed by the Public Distribution System (PDS) at Rs 52,741 crore, reflecting the continued scale of government support for food security and subsidised foodgrain distribution.
Among employment and rural housing programmes, the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) has seen transfers of Rs 15,241 crore, while the Pradhan Mantri Awas Yojana-Gramin (PMAY-G) accounts for Rs 10,423 crore. These schemes are considered important for supporting rural employment and housing.
Other significant components include PAHAL, the LPG subsidy transfer scheme, at Rs 4,788 crore, and scholarship schemes at Rs 4,395 crore. The National Social Assistance Programme (NSAP), which supports vulnerable sections, including the elderly, widows, and persons with disabilities, has recorded transfers of Rs 985 crore.
A sizeable Rs 56,170 crore is classified under other schemes, making it the second-largest broad category after fertiliser. This reflects the wide coverage of DBT, which currently spans around 320 government schemes and aims to plug leakages and improve delivery efficiency.
The DBT system helped the government plug leakages worth Rs 5.14 lakh crore during FY14-FY25, according to the latest government data.
These savings have provided the government with greater fiscal space to improve expenditure quality and extend welfare benefits to eligible beneficiaries without putting undue pressure on the exchequer.
DBT transfers reached an all-time high of Rs 7.5 lakh crore in FY26, reflecting the growing use of the platform to implement government schemes. The previous high was Rs 7.16 lakh crore in FY23, largely due to enhanced post-Covid relief measures.