Government Launches CBDC-Based DBT for PMGKAY in Chandigarh

Government has launched Central Bank Digital Currency for DBT payments under Pradhan Mantri Garib Kalyan Anna Yojana in Chandigarh. Chandigarh is the first Union Territory to use digital currency for food subsidy payments.

Digital currency for food subsidies

Union Ministers Shivraj Singh Chouhan and Prahlad Joshi, along with Punjab Governor Gulab Chand Kataria, started this process on August 14, 2026. The goal is to remove middlemen from the payment system. Government spends over ₹2.10 lakh crore on free ration distribution every year. Digital Rupee transfers are clear and work for anyone with a mobile phone. This rollout also started virtually for Dadra and Nagar Haveli.