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Amit Shah Launches India's First CBDC-Based Ration System in Gujarat

Union Home Minister Amit Shah will inaugurate India's first Central Bank Digital Currency-based Public Distribution System in Gandhinagar on February 15. The pilot phase covers over 26,000 families in Ahmedabad, Surat, Anand, and Valsad, using QR codes or OTPs for authentication. The launch event will also feature the introduction of standardized one-kilogram packs for pulses and a 24/7 grain dispensing machine. Concurrently, the state is initiating a malnutrition eradication campaign in Narmada district with CSR funds.

Key Points: India's First CBDC-Based PDS Launched by Amit Shah

  • First CBDC-based PDS in India
  • Subsidy via digital tokens in wallets
  • Covers 26,333 families in pilot phase
  • Also launches grain ATM & sealed packs
2 min read

Gujarat: HM Amit Shah to inaugurate India's first CBDC-based public distribution system on Feb 15

Union Home Minister Amit Shah inaugurates India's first Central Bank Digital Currency-based Public Distribution System in Gujarat on Feb 15.

Gujarat: HM Amit Shah to inaugurate India's first CBDC-based public distribution system on Feb 15
"introduces subsidy transfers through the Reserve Bank of India-authorised CBDC platform - Gujarat Government"

Gandhinagar, Feb 13

Union Home Minister Amit Shah will inaugurate India's first Central Bank Digital Currency-based Public Distribution System on Sunday at the Mahatma Mandir in Gujarat's Gandhinagar, government officials said on Friday.

The initiative, undertaken by the Gujarat Food, Civil Supplies and Consumer Affairs Department, introduces subsidy transfers through the Reserve Bank of India-authorised CBDC platform.

The system has been developed by the Punjab National Bank and will provide beneficiaries with digital tokens in their wallets containing details of the commodity, quantity and price.

Under the pilot phase, 26,333 families in the Sabarmati zone of Ahmedabad, as well as in Surat, Anand and Valsad, have been covered.

Beneficiaries using smartphones will authenticate transactions through QR codes, while those with feature phones will receive one-time passwords under an Aadhaar-based verification system.

Chief Minister Bhupendra Patel, Union Minister for Consumer Affairs, Food and Public Distribution Pralhad Joshi and Deputy Chief Minister Harsh Sanghavi will attend the launch.

In addition to the CBDC-based system, the state government will introduce distribution of tur and chana in standardised one kg sealed packs for National Food Security Act beneficiaries, replacing loose distribution to maintain quality standards.

An 'Annapurti Grain ATM' will also be launched in the Sabarmati zone of Ahmedabad.

Designed to function round the clock, the machine can dispense up to 25 kg of grain within 35 seconds.

The state will also sign memoranda of understanding with Care Rating and the Consumer Education and Research Centre to introduce a Consumer Responsibility Index for rating companies.

A conciliation and pre-litigation mechanism aimed at facilitating faster, out-of-court settlement of consumer disputes will be established.

Separately, under the 'Garima Poshan - Suposhit Garudeshwar Taluka' campaign, Rs 1.65 crore from the CSR funds of Gujarat State Civil Supplies Corporation Limited will be allocated to efforts to address malnutrition in Garudeshwar taluka of Narmada district.

The project includes the establishment of two model anganwadis and targeted health interventions for adolescent girls and pregnant women.

- IANS

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Reader Comments

P
Priya S
Hope this works well for our elders and those in villages who are not very tech-savvy. The OTP system for feature phones is a good thought. But the government must ensure proper training is given at the ration shops to help people adapt.
V
Vikram M
Standardised 1kg packs for tur and chana is a much-needed change. No more worrying about underweight or poor quality grains from the PDS shop. Small step, but will make a big difference in the kitchen budget for many families.
S
Sarah B
The focus on malnutrition in Garudeshwar through CSR funds is commendable. Model anganwadis and health interventions are critical. However, I hope this pilot in Gujarat is scaled up quickly to cover all states, especially those with higher poverty rates.
R
Rohit P
All these digital initiatives are good, but what about internet connectivity in remote areas? And Aadhaar-based systems sometimes fail due to biometric issues. The conciliation mechanism for consumer disputes sounds promising though. Let's see how it works on ground.
M
Michael C
Interesting to see India embracing CBDC for social welfare. The tech seems robust with PNB's involvement. The Consumer Responsibility Index could be a game-changer if implemented fairly, holding companies accountable. A forward-looking policy package overall.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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