The equalities, human rights and civil justice committee heard evidence on proposals to improve the ayslum system in Scotland last year.
As a result, MSPs on the committee urged Holyrood to sanction concessionary bus travel for asylum seekers.
People in the asylum system are unable to work under UK employment law. Westminster provides £49.18 per week for people in uncatered accommodation, while those in hotels get £8.86 per week.
People said they were often forced to choose between eating or taking medicine due to the limited money.
Immigration and employment law is reserved to Westminster but the equalities committee had called on local authorities and the Scottish government to use “the full extent of their powers”.
Former First Minister Humza Yousaf confirmed the scheme in November and said £2m had been set aside to pay for it.
The commitment followed a long campaign by refugee-rights organisations and a pilot programme in Glasgow in 2023.
However, Finance Secretary Shona Robison recently warned that spending cuts were unavoidable, and ministers were ordered to “constrain all but essential” spending to help pay for public sector pay deals.
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