Cash transfers in Maharashtra and Odisha have raised savings and boosted household spending, showing the benefits of predictable income support
More than 15 states now run cash transfer schemes for women, covering around 120 million beneficiaries
Many states fund these schemes despite revenue deficits, raising concerns over long-term affordability
As transfers grow, clear rules are needed to prevent politically driven expansion and fiscal strain
Consolidating cash transfers and subsidies can improve efficiency while keeping welfare targeted and sustainable
Cash support must go hand in hand with fiscal discipline and continued investment in long-term development