CBDC-based Digital Food Currency Pilot

under implementation

The Government of India launched a pilot project using Central Bank Digital Currency (CBDC) to distribute food subsidies under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) in Puducherry. The initiative aims to make food benefit delivery more transparent, efficient, and secure by using digital rupee for Direct Benefit Transfer (DBT). Food subsidies are credited as programmable digital currency (e₹) to beneficiaries' CBDC wallets, which can be redeemed at Fair Price Shops and authorized outlets for foodgrains.