The Government of India has launched a Central Bank Digital Currency (CBDC)-based Digital Food Currency pilot in Gujarat, inaugurated by Union Home Minister Amit Shah in the presence of Union Minister Prahlad Joshi and Gujarat Chief Minister Bhupendra Patel. The initiative integrates programmable digital rupee (e₹) into the Public Distribution System (PDS), allowing beneficiaries to redeem foodgrains at Fair Price Shops via QR codes or coupon codes, ensuring real-time, traceable, and secure transactions.
The pilot, covering Ahmedabad, Anand, Valsad, and Surat districts, aims to enhance transparency, efficiency, and accountability in India’s PDS, serving over 80 crore beneficiaries. It eliminates repeated biometric authentication, streamlines transactions, and provides Fair Price Shop dealers real-time margins. Plans to expand to Chandigarh, Puducherry, and Dadra & Nagar Haveli and Daman & Diu are underway.
