Cash transfer scheme is not a magic wand: Jairam

Gollaprolu: The direct cash transfer scheme is not a "jaadu ki chhadi" (magic wand) to reform a "broken down" delivery system and problems are there in its implementation, Union Minister Jairam Ramesh said on Sunday.

"It (Direct Benefits Transfer Scheme) is not a single 'jaadu ki chhadi' (magic wand). It is an experiment. The world's largest experiment in administrative reforms," he told reporters here.

The Union Rural Development Minister's remarks came against the backdrop of criticism that in the absence of proper infrastructure, the scheme cannot be operationalised successfully and that the benefits may not reach the intended beneficiaries.

The scheme to provide cash benefits to the needy through Aadhar-linked bank accounts was launched on January one in 20 districts in six states and three union territories. The scheme is proposed to cover the entire country by the end of this year.

Ramesh admitted that there were hitches in the implementation of the scheme but was confident that it would be overcome.

"It has problems on the ground. It will have problems with banks, post offices and online connectivity. We have embarked on this. We will resolve these issues as we go along," he said after launching DBTS for MGNREGS at Gollaprolu in East Godavari district of Andhra Pradesh.

"No solution is without ten problems in India. You can always find ten problems for one solution. The key to avoiding corruption at the beneficiary end is to give the beneficiary the choice of business correspondents," the minister replied, when asked if the business correspondents (BCs) could be a source of corruption.