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Datanomics: Rise of unconditional cash transfers ahead of Bihar polls

UCT now constitutes 0.87 per cent of the gross domestic product (GDP), outpacing both MGNREGA and food subsidies shares in the economy

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The most striking feature of these transfers is their gender reorientation. Share of UCT exclusively for women has increased from a mere 0.8 per cent in 2015-16 to 53.8 per cent in 2024-25. Illustration: Binay Sinha

Sneha Sasikumar

2 min read Last Updated : Aug 12 2025 | 3:46 PM IST

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With the Bihar Assembly elections a few months away, political parties are expected to announce a slew of promises, including unconditional cash transfers (UCT). They relate to those schemes where there are no strings attached such as PM-Kisan, Rythu Bharosa (Telangana), and Ladli Behena Yojana (Madhya Pradesh). UCT by the centre and the states increased from ₹12,188 crore in 2015-16 to a projected ₹2.80 trillion in 2024-25, according to Project DEEP's report titled ‘Unconditional cash transfer in India – Tracing the journey, shaping the future’, an organisation working on improving direct cash transfers (DCT) system.

UCT now constitutes 0.87 per

Topics : Bihar Elections 2025 Bihar Assembly Elections Political parties Cash transfers