Bihar polls: Why NDA’s ‘cash transfer bonanza’ has beneficiaries crying foul

What began as a high-decibel welfare blitz ahead of the Bihar assembly polls is now mired in controversy and confusion. Prime Minister Narendra Modi, who once denounced “revadi culture” (freebies in politics), transferred Rs 10,000 each to 75 lakh women in Bihar on 26 September under the state’s Mukhyamantri Mahila Rojgar Yojana — a massive Rs 7,500 crore disbursal in toto.

Barely a week later, Bihar chief minister Nitish Kumar followed suit, crediting another Rs 10,000 each to 25 lakh women, totalling Rs 2,500 crore, through direct benefit transfer (DBT).

The combined Rs 10,000 crore transfer was hailed by political observers as a potential game-changer in the battleground that is the ongoing pre-election campaigning.

The ruling NDA projected it as a landmark measure for the empowerment of women, while a stunned INDIA bloc, which had promised Rs 2,500 monthly assistance under its Mai Bahin Yojana, was left scrambling for a counter-narrative.

But as the campaign gained momentum, cracks began to appear in the NDA’s grand narrative.

Videos shared by journalist Ajit Anjum on social media show women from Bihar’s Patna district alleging that they never received the promised money, indicating corruption or administrative failure in the delivery system.

“I met 50 Jeevika Didis in a village in Bihar. Out of them, 40 have not received the amount of Rs 10,000. Because of this, they are angry,” Anjum wrote on X.

Adding to the women’s distress, many micro-finance institutions (MFIs) and local banks have reportedly begun calling beneficiaries to repay the interest dues on old loans. This has triggered confusion and panic in Bihar’s rural areas.

Notably, Bihar is among India’s largest micro-finance markets, accounting for nearly 15 per cent of the national portfolio, valued at Rs 57,712 crore as of FY 2024–25. The sector overwhelmingly serves low-income women borrowers — over 99 per cent of micro-finance clients in Bihar are women (who make up nearly 47% of the population) — with an average loan size of Rs 38,000–50,000.

Economists warned that the NDA government’s short-term political gambit may end up deepening financial stress among women already caught in cycles of debt.

With the election just weeks away, the Mahila Rojgar Yojana — showcased as a model of women’s empowerment by the NDA — has now become a symbol of Bihar’s muddled welfare politics. The Opposition has already seized on the controversy, accusing the government of using public money to bribe voters, while failing to ensure transparency or fairness in implementation.

“Due to the government’s flawed policies, historic announcements have been made to bring qualitative changes in the lives of Jeevika Didis, who are enduring physical, mental and economic exploitation," said RJD leader and former deputy chief minister Tejashwi Yadav.

“Jeevika CMs (community mobilisers) will be made permanent, granting them the status of government employees, and their salary will be set at Rs 30,000 per month,” he promised on behalf of the Rashtriya Janata Dal and the INDIA bloc at a press conference held today, 22 October. “The interest on loans taken by Jeevika Didis will also be waived,” he added.

As Bihar votes, the ‘revadi’ that was meant to sweeten the NDA’s campaign might just leave it with a bitter aftertaste — and lend weight to the Opposition’s side of the balance yet!