Cash Transfer Schemes for Women

Context

Recently, schemes like Maharashtra’s Mukhyamantri Majhi Ladki Bahin Yojana and Jharkhand’s Mukhyamantri Maiya Samman Yojana have garnered attention for their focus on direct benefit transfers (DBTs) aimed at women empowerment.

Rationale for Women-Centric Schemes

1. Increased Female Voter Turnout:
   • Women’s participation in elections has grown significantly, from 47% in 1962 to 66% in 2024.
2. Emergence of a Distinct Women Voter Base:
   • Women increasingly vote independently, forming a distinct electoral bloc.
3. Electoral Importance:
   • Women’s votes have become pivotal in shaping election outcomes, often acting as swing votes.

Advantages of Direct Cash Transfers

1. Bypassing Middlemen:
   • Ensures funds directly reach beneficiaries via Aadhaar-linked accounts, reducing corruption.
2. Quick Impact:
   • Provides immediate benefits, enhancing public perception of welfare commitments.
3. Leader-Citizen Bonding:
   • Strengthens personal loyalty towards leaders and political parties by creating a direct link.

Benefits for Political Parties

• Encourages policy replication to remain competitive and retain women voters.
• Aligns with women-centric initiatives such as “Nari Shakti” and reservation policies, reinforcing progressive narratives.

Challenges of Cash Transfer Schemes

1. Dependency Risks:
   • May foster reliance on periodic payments without addressing deeper structural issues.
2. Neglect of Public Infrastructure:
   • Diverts focus from critical long-term investments in schools, hospitals, and public utilities.
3. Limited Policy Scope:
   • Narrowly targeted policies often ignore broader welfare solutions and systemic gender disparities.

Way Forward

1. Integrative Approach:
   • Combine cash transfers with robust investments in education, healthcare, and skill development to promote long-term empowerment.
2. Strengthen DBT Mechanisms:
   • Address residual inefficiencies to ensure funds are utilized effectively for the intended purpose.
3. Inclusive Policies:
   • Develop comprehensive frameworks that tackle societal challenges while addressing women’s needs specifically.