Pradhan MantriJan Dhan Yojana is one of the three pillars of the JAM trinity (Jan-Dhan, Aadhaar, and mobile) that is internationally acclaimed as a diversion-proof subsidy delivery mechanism that transfers benefits directly to the bank accounts of the impoverished.
Prime Minister Narendra Modi stated on Saturday that it is a “significant milestone” that the number of bank accounts opened under the flagship initiative for financial inclusion, Pradhan Mantri Jan-Dhan Yojana (PMJDY), has exceeded 500 million, with 56% of bank accounts belonging to women and 67% of those opened in rural and semi-urban areas.
PMJDY is one of the three pillars of the JAM trinity ( Jan-Dhan, Aadhaar, and mobile) that is internationally acclaimed as a diversion-proof subsidy delivery mechanism that transfers benefits directly to the bank accounts of the impoverished. As envisioned by Prime Minister Modi, the programme provides fundamental banking services to the underprivileged. It was first introduced on August 28, 2014.
“It is encouraging to see that over fifty per cent of these accounts belong to our Nari Shakti. “By opening 67% of accounts in rural and semi-urban areas, we are also ensuring that the benefits of financial inclusion reach every corner of our country,” Modi said in a tweet.
The national mission on financial inclusion has completed nearly nine years, according to a statement from the Union’s finance ministry. As of August 9, 2023, the total number of Jan-Dhan accounts has surpassed 500 million, according to the most recent bank reports. The number of accounts has surpassed 500 million as of August 9, 2023.
The deposits in these accounts exceed Rs. 2.03 lakh crore, and approximately 340 million RuPay cards have been issued free of charge, according to the ministry. “The average balance in PMJDY accounts is Rs.4,076 and more than 550 million PMJDY accounts are receiving DBT [Direct Benefit Transfer] benefits,” it added.
The PMJDY programme has effectively altered the nation’s financial landscape and nearly saturated the adult population with bank accounts. It was stated that the success of PMJDY depends on the comprehensive nature of the programme, which aims to connect the last mile to the formal banking system via technology, collaboration, and innovation.
PMJDY provides account bearers with numerous benefits, including a bank account with no minimum balance requirement, free RuPay debit cards with built-in Rs. 2 lakh accident insurance, and an overdraft facility of up to Rs. 10,000.
