Kerala to stop welfare pension delivery through cooperative banks, shifts to DBT
The Kerala government is transitioning its social security and welfare pension distribution from cooperative banks to a Direct Benefit Transfer (DBT) system linked to Aadhaar. This move aims to improve efficiency and compliance with central government norms, though doorstep delivery will remain available for bedridden patients.
Why it matters
This shift represents a significant administrative reform in state-level welfare delivery, impacting how thousands of beneficiaries receive financial support.
The Kerala government has decided to stop distributing social security and welfare pensions through cooperative banks and make Direct Benefit Transfer (DBT) to Aadhaar-linked bank accounts mandatory for all beneficiaries except bedridden patients.
According to a recent order issued by Additional Chief Secretary (LSGD) K.R. Jyothilal, the Finance Department has given in-principle approval for disbursing all social security and welfare fund board pensions through the DBT mode.
The decision ends the existing system under which cooperative banks delivered pension amounts directly to beneficiaries’ homes.
However, the government said bedridden beneficiaries and others who cannot be excluded from the doorstep delivery system would continue to receive pensions at their homes.
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