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India pilots new welfare system

2 January 2013 Last updated at 01:55 GMT

India's government is launching what may be the world's biggest cash-for-poor scheme this week.

The government plans to deposit cash payments for welfare programmes and subsidies directly into the bank accounts of the beneficiaries of 34 welfare schemes in the country.

The new scheme aims to cut down on corruption and malpractice.

The programme, which is being piloted in several districts, will cover more than 720 million people when it is fully implemented.

Yogita Limaye travelled to the north-western state of Rajasthan to see how the pilot project is faring.