CBDC eKYC Registration for Beneficiaries of Pradhan Mantri Garib Kalyan Anna Yojana

• Manish Kumar
• 11 May 2026
• 64 Views

In the Union Territory of Puducherry, the beneficiaries of Pradhan Mantri Garib Kalyan Anna Yojana (PMGKY) have been directed by the Department of Civil Supplies to complete the mandatory eKYC registration under the newly-introduced Central Bank Digital Currency (CBDC) System, in order to receive food subsidies. 

Under the system, food subsidies are provided through the digital currency e₹. It has replaced the earlier Direct Benefit Transfer (DBT)-Cash system in the Union Territory.

What is Pradhan Mantri Garib Kalyan Yojana?

The Pradhan Mantri Garib Kalyan Yojana, abbreviated by PMGKY, is a central government welfare scheme launched in 2016. This scheme is inarguably one of the most important and basic schemes in India as it aims to provide relief to the poor and vulnerable sections of the society, especially during times of economic disruptions. 

What is Pradhan Mantri Garib Kalyan Anna Yojana?

The primary component of PMGKY scheme, i.e., the PM Garib Kalyan Anna Yojana (PMGKAY), aims to provide free food grains to over 80 crore beneficiaries to ensure food security through the Public Distribution System Under this system, Fair Price Shops distribute subsidized foodgrains to eligible ration card holders. 

What is Central Bank Digital Currency (CBDC)?

Central Bank Digital Currency means a digital form of money issued by a country’s central bank. In India, the digital currency is called e₹ and gets issued by Reserve Bank of India, which is the central bank of India. It is 1:1 exchangeable at par and stored in digital wallets. Currently, CBDC is in the pilot phase. It replaces 

It is important to note that CBDC is different from cryptocurrency traded on crypto platforms. CBDC is fully regulated by the RBI. Crypto currency is monitored by the Financial Intelligence Unit-India (FIU-IND) for AML/KYC compliance under the PMLA. 

Puducherry Pilot Project for CBDC-based Food Subsidy Distribution

On 26 February 2026, the Puducherry pilot project for the CBDC-based food subsidy distribution commenced. Under this project, the beneficiaries are given an e-wallet that remains valid for three months from the date of issue. 

The digital currency can only be used for purchasing rice and other foodgrains from Fair Price Shops and other authorized stores.

Documents Required for Puducherry KYC Registration

Documents required for Puducherry KYC registration include:

• Ration card 

• Aadhaar Card

• Registered Mobile Number

• Bank Details

Puducherry eKYC Registration Process for Beneficiaries of PMGKAY

If you are a beneficiary of PMGKAY residing in Puducherry and still have not yet completed the eKYC registration, here is what you need to do:

Step 1: The eKYC registration is an in-person process. Therefore, you must visit the Common Service Centre for the process. Make sure you carry your Aadhaar card as well as ration card to the centre for the verification purposes.

Step 2: Once you arrive at the centre, you must get in touch with an official and tell them you’ve visited them for completing the eKYC process.

Step 3: Then, the eKYC registration process will be completed at the centre for free of cost. At the completion of the process, the e-KYC status will be updated to provide access to the digital currency e₹ for food grains. 

After fulfillment of the above-mentioned steps, the Puducherry KYC ration card process will be completed. It is important to note that the government has also mandated eKYC for ration card holders every five years under the Targeted Public Distribution System (Control) Amendment Order, 2025, which came into effect from 22 July 2025 onwards.

Future Plans for Expansion of CBDC-based Food Subsidy

The CBDC-based food subsidy scheme, which started in Gujarat and Puducherry, is planned to expand to Chandigarh, Dadra and Nagar Haveli and Daman and Diu. The expansion will commence in June 2026.