India saved 1 billion US dollars annually using Aadhaar: World Bank

Jan 16, 2016 13:24 IST

The World Bank on 14 January 2016 announced that India saved 1 billion US dollars annually by using Aadhaar. It was revealed in the bank’s publication World Development Report 2016: Digital Dividends that was released in Washington DC, the USA.

As per the report, transfer of fuel subsidy to bank accounts using the Aadhaar-based Direct Benefit Transfer (DBT) saved about 1 billion per year when applied throughout the country on account of reduced leakage and efficient gains.

The report further estimated that the DBT has the potential to save over 11 billion US dollars per year in government expenditure if the scheme is expanded to other subsidy programmes.

Findings of the report with respect to India

• China has the largest number of internet users, followed by the United States, with India, Japan, and Brazil filling out the top five.
• A digital identification system such as India’s Aadhaar, by overcoming complex information problems, helps willing governments to promote the inclusion of disadvantaged groups.
• In India, there are an estimated 1.063 billion population are offline.
• Nearly 900 million Indians have been issued digital IDs in the past fi ve years, which they are using to open bank accounts, monitor attendance of civil servants, and identify recipients of government subsidies.
• Digital governance played a role in improving public sector capability. For example, e-procurement helped in injecting more competition into the process by increasing the probability that the winning bidder comes from outside the project’s region.

Now get latest Current Affairs on mobile, Download # 1  Current Affairs App

Is this article important for exams ? Yes37 People Agreed
Read more Current Affairs on: Aadhaar , digital connectivity , Internet and development , World Bank

DISCLAIMER: JPL and its affiliates shall have no liability for any views, thoughts and comments expressed on this article.

Latest Videos

Register to get FREE updates

    All Fields Mandatory
  • (Ex:9123456789)
  • Please Select Your Interest
  • Please specify

  • ajax-loader
  • A verifcation code has been sent to
    your mobile number

    Please enter the verification code below

This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK