PM Narendra Modi inaugurates Pradhan Mantri Jan Dhan Yojana
PM of India, Narendra Modi launched the ambitious ‘Pradhan Mantri Jan Dhan Yojana’ which aims to achieve comprehensive financial inclusion. Mr. Modi had announced this scheme on his maiden Independence Day speech on August 15, 2014. On the very first day, a record 1.5 Crore (15 million) bank accounts were opened under this scheme.
‘Pradhan Mantri Jan Dhan Yojana’
The ambitious scheme aims to achieve the gargantuan task of enrolling over 7.5 crore (75 million) households and to open their accounts. In its current phase, the scheme targets to provide ‘universal access to banking facilities’ starting with Basic Banking Accounts with overdraft facility of Rs.5000 after six months and RuPay Debit card with inbuilt accident insurance cover of Rs. 1 lakh and RuPay Kisan Card. The scheme will add micro insurance & pension etc. in the next phase.
The slogan for the Pradhan Mantri Jan Dhan mission is “Mera Khata – Bhagya Vidhaata”.
Every individual who opens a bank account will become eligible to receive an accident insurance cover of up-to Rs. 1 Lakh for his entire family. An additional Rs. 30,000 life insurance cover will be provided for those opening bank accounts before January 26, 2015. Once the bank account becomes active for 6 months and is linked to account holders Aadhar identity, the account holders will be eligible for an overdraft facility of up to Rs. 2500, which will be enhanced to Rs. 5000 over time.
The scheme intends to provide incentives to business and banking correspondents. The banking correspondents function as link for the last mile between savings account holders and the bank by fixing a minimum monthly remuneration of Rs. 5000.
To lay the foundation of a cashless economy is the long term vision of the Jan Dhan Yojana which is also complementary to the Digital India Scheme.