With the increase in payments like those received by Premila, a total of 118 million women across 12 states in India are receiving similar benefits. This makes the Indian project one of the largest social experiments in the world.
India, traditionally offering subsidies for food and fuel, has taken a step forward by paying women who perform unpaid caregiving and household work.
The amount of payments ranges from 1,000 to 2,500 rupees (12–30 dollars) per month, which constitutes about 5–12% of the total household income. With 300 million women now having access to bank accounts, the process of receiving payments has become simpler.
Women use these funds for their families' basic needs: children's education, groceries, cooking gas, and medical expenses. Unlike social payment programs in other countries, there are no requirements related to school attendance or family income levels in India.
The first to launch an unconditional cash transfer program for women was Goa in 2013. However, the real growth of these programs began before the pandemic in 2020, when the state of Assam introduced payments for the most vulnerable categories of women. Since then, such initiatives have become a significant political tool.
Some states designate unpaid domestic labor by women as a separate category of employment; for example, in Tamil Nadu, it is called a "grant by right," and in West Bengal, this contribution by women is also officially recognized.
Nevertheless, in some regions, the recognition of this labor remains less formal, and it is assumed that women will spend the received funds on family needs.
According to Prabha Kotiswaran, a professor of law and social justice at King's College London, such payments represent a significant expansion of social programs aimed at women.
In the Bihar elections, for example, authorities transferred 10,000 rupees (112 dollars) to the accounts of 7.5 million women, contributing to a high level of women's participation in voting and influencing the election outcomes.
Critics label such programs as populist manipulations; however, it is evident that women receiving these payments have become an important electorate.
The Indian authorities are prepared to spend about 18 billion dollars on such payments, raising concerns about budget deficits in 12 states that need to borrow funds to cover expenses.
Nevertheless, such programs may be a step towards recognizing the economic value of unpaid domestic labor, as noted by Indian feminists.
According to a recent survey, women in India spend nearly five hours a day on housework, which is 7.6 times more than men, explaining their low participation in the labor market.
Cash payments help acknowledge this imbalance; however, the question remains: how effective is it?
Research shows that 30% of women eligible for payments have not registered with the relevant authorities, and many consider themselves self-sufficient. However, among those who registered, almost all manage their bank accounts independently.
In West Bengal, 90% of women control their accounts, and 86% decide how to spend the money, prioritizing food, education, and medical expenses. While this does not lead to radical changes in their lives, regular payments create a sense of stability.
Professor Kotiswaran's research shows that most women feel an increase in dignity associated with receiving these payments, although many do not link it to the recognition of their unpaid labor.
Despite this, such payments help women better cope with financial difficulties and boost their self-confidence.
However, few perceive these programs as compensation for unpaid work. It is important to emphasize women's rights and the value of their labor, while also developing financial literacy programs.
Cash payments can be an important step towards recognizing unpaid labor if they are based on understanding its real value. However, changing the gender balance in the labor market requires more than just financial assistance.
Thus, the "cash transfer revolution" in India is just beginning, and it is already evident that even small regular amounts can significantly change the balance of power.
Whether this will promote women's empowerment or become a tool of political control depends on how exactly this program will be implemented.
