Direct Cash Transfer scheme needs meticulous planning: Ficci

NEW DELHI: Implementation of Direct Cash Transfer scheme needs meticulous planning and extension of banking network in the rural areas, industry body Ficci said today.

The government proposes to roll out the Aadhaar-enabled cash transfer for 29 schemes from January 1 in 51 districts, spread over 16 states. It also plans to cover the entire nation by the end of December 2013. Later, the cash transfer would cover all the 42 welfare schemes.

"The implementation of this programme as envisaged calls for meticulous planning and a simultaneous extension of the banking network in the far flung rural areas of the country," Ficci President R V Kanoria said in a statement.

He said that completion of the programme would prove to be the anchor for leveraging and rolling out any new welfare scheme introduced in the future.

Describing the scheme as a laudable initiative, he said the benefits of various social welfare programmes would reach to the intended beneficiaries in a timely and efficient manner.

"Today, there are several development programmes that are being run by the government. While we recognise the need for such programmes, we also feel that at our present stage of development there should be a judicious management of resources," he said.

Kanoria said that the scheme is a step in that direction and should help the government contain the leakages and economise the subsidy bill and direct subsidies to the genuinely needy.