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Amit Shah Launches CBDC-Based PDS in Gujarat

Gandhinagar, February 15, 2026: Union Home Minister and Minister of Cooperation Amit Shah on Saturday launched a Central Bank Digital Currency (CBDC)-based Public Distribution System (PDS) in Gandhinagar, marking a major step in integrating Digital India with food security delivery.
The initiative, inaugurated in the presence of Gujarat Chief Minister Bhupendra Patel and Union Minister for Consumer Affairs, Food and Public Distribution Pralhad Joshi, aims to create a transparent, secure and corruption-free system for distributing subsidised food grains.
Addressing the gathering, Shah said that under Prime Minister Narendra Modi’s leadership, Digital India is now entering the domain of providing affordable food grains to the poor.

Digital India Meets Food Security

Shah emphasised that the CBDC-based PDS would bring the Prime Minister’s vision of ‘Minimum Government, Maximum Governance’ to the grassroots level. He noted that technology-driven reforms have already transformed welfare delivery through Direct Benefit Transfers, eliminating leakages and middlemen.According to him, the same transparency and efficiency will now extend to ration distribution, ensuring that eligible beneficiaries receive their entitlements directly through digital means.The CBDC framework is expected to remove corruption and irregularities that historically plagued food grain distribution mechanisms.

Annapurna Machine for Speed and Accuracy

During the event, Shah also inaugurated the ‘Annapurna’ machine, a system capable of dispensing 25 kilograms of food grains in just 35 seconds. The machine is designed to ensure accurate quantity, better quality control and faster service at Fair Price Shops.He stated that the new system would gradually be expanded nationwide over the next three to four years, covering regions from Kashmir to Kanyakumari and from Dwarka to Kamakhya.Once fully implemented, every eligible citizen will continue to receive 5 kilograms of free food grains per person per month in a more transparent manner.

Empowering the Poor Through Technology

The Home Minister said Prime Minister Modi has given the first right over the nation’s resources to the poor, Dalits, backward classes and tribal communities. He highlighted that 80 crore people currently receive free food grains under government schemes.He also pointed to the rapid growth of digital infrastructure, noting that India now accounts for nearly half of the world’s digital transactions. Connectivity has reached over one lakh villages, enabling smoother implementation of technology-based welfare schemes.Shah added that initiatives such as PM SVANidhi and direct income support to farmers reflect the government’s broader commitment to improving livelihoods.

On Farmers and Trade Agreements

Shah defended the government’s record on safeguarding farmers’ interests, stating that Free Trade Agreements with the European Union, the United Kingdom and trade arrangements with the United States have been structured to protect India’s agriculture and dairy sectors.He criticised previous administrations for policy decisions that allegedly made farmers vulnerable, asserting that the current government stands firmly with farmers, fishermen and livestock rearers.The Minister reiterated that agriculture budgets have significantly increased over the past decade, and direct financial assistance to farmers has been institutionalised through regular transfers.

Towards a Transparent Distribution Network

Officials believe the CBDC-based PDS will eliminate middlemen and ensure that food security benefits reach beneficiaries without diversion. By combining digital currency technology with automated dispensing systems, the initiative seeks to create a secure and accountable ecosystem.The government plans to expand the model across India after evaluating its performance in Gujarat. 

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