Women Welfare Push
New Delhi
Twelve Indian states are expected to spend a combined ₹1.68 lakh crore on unconditional cash transfer (UCT) schemes for women in 2025–26, according to a new report by PRS Legislative Research. This marks a significant rise from just two states offering such schemes three years ago.
The report highlighted that six of these states are projecting a revenue deficit, suggesting growing fiscal pressure due to expanding welfare payouts. However, if spending on women’s cash schemes is excluded, the financial situation of these states shows improvement.
UCT schemes provide monthly cash support to women from low-income households to boost their financial independence. Beneficiaries are generally selected based on income levels, age, and social criteria.
States such as Tamil Nadu, Madhya Pradesh, and Karnataka are among the largest implementers through their Kalaignar Magalir Urimai Thogai Thittam, Ladli Behna Yojana, and Gruha Lakshmi schemes, respectively, offering ₹1,000–₹1,500 per month. Assam and West Bengal have also increased allocations by 31% and 15%.
The report, however, cautioned that these initiatives are straining state finances. Karnataka’s deficit of 0.6% of GSDP could turn into a 0.3% surplus without UCT expenses, while Madhya Pradesh’s surplus could rise from 0.4% to 1.1%.
The Reserve Bank of India has warned that rising subsidies for women, youth, and farmers may reduce funds for development projects. To balance budgets, Maharashtra trimmed payouts under its CM Ladki Bahin Yojana, while Jharkhand raised benefits under the CM Maiyan Samman Yojana.
