Cash transfers help Bengal women take financial decisions, says study

A study points out that the cash incentives have increased the women beneficiary’s ability

A study by Amartya Sen’s Pratichi Trust on Lakshmir Bhandar, one of the flagship schemes of the West Bengal government, points out that the cash incentives have increased the women beneficiary’s ability to make financial decisions and position in the family, but larger issues of child marriage and domestic violence require special attention.

“From the gender perspective, although issues of security, dignity, and freedom of choice for women are being addressed to a certain extent through Lakshmir Bhandar, larger background realities like child marriage, and domestic violence still need special attention,” the report by Pratichi Trust said.

The study published recently pointed out that 85.55% of women report that they decide how to spend the money themselves, followed by joint decision-making with their husbands at 10.76%.

Another interesting figure that the study points out is that the majority of the respondents report that their position in their family is enhanced due to Lakshmir Bhandar (Yes=61.07%, No=38.93%). The picture across social groups is also mostly equitable (though the perception of STs might demand more probing).

Lakshmir Bhandar, a flagship programme to provide financial assistance to women from economically weaker sections of society in the 25-60 age group, provides ₹1,000 every month to women from SC/ST households and ₹500 per month for other categories. The scheme was announced by Chief Minister Mamata Banerjee in February 2021 during the the Assembly election campaign. The West Bengal government annually spends over ₹15,000 crore for the scheme and the number of beneficiaries has increased to about 2 crore.

The study published recently points out that from the “policy point of view, it is important to ensure that there is conversation and awareness regarding the conflicting realities of domestic violence, child marriage and gender-based discrimination on the one hand and the benefits or freedom that accrue to women as a result of direct cash transfer programmes on the other”.