Q. Consider the following statements:
1.Direct Benefit Transfer (DBT) is a system implemented by governments to track and monitor the personal financial transactions of individuals, infringing upon their privacy and violating their rights to financial autonomy.
2.Under the Aadhaar-enabled Payment System (AePS), an individual can use their biometric credentials to carry out banking transactions in Aadhaar-linked bank accounts.
3.Direct Benefit Transfer (DBT) has been widely recognized as a transformative mechanism that aims to foster financial inclusion.
Which of the statements given above is/are correct?
Answer: D
Notes:
Explanation –
Statement 1 is incorrect. Direct Benefit Transfer (DBT) is a system implemented by governments to provide welfare benefits and subsidies directly to beneficiaries, bypassing intermediaries and ensuring efficient and transparent delivery of funds.
Statement 2 and 3 are correct. Under the Aadhaar-enabled Payment System (AePS), an individual can use their biometric credentials to carry out banking transactions in Aadhaar-linked bank accounts. DBT encourages people, especially from rural and underprivileged backgrounds, to open bank accounts, thus promoting financial inclusion.
Source: ForumIAS
