Pradhan Mantri Jan Dhan Yojana (PMJDY) completed nine years on August 28, 2023. Over 50 crore people have been brought into the formal banking system through Jan Dhan Accounts. Over 50 crore new bank accounts have been opened since the scheme’s launch. Approximately 56% of Jan-Dhan account holders are women, and about 67% of the accounts are in rural and semi-urban areas. The total deposit balances in Jan Dhan accounts exceed two lakh three thousand crore rupees. More than 33 crore RuPay cards have been issued to Jan Dhan account holders. Around six crore 26 lakh account holders received direct benefit transfers from the Government under various schemes.
What is Pradhan Mantri Jan Dhan Yojana (PMJDY)
The Pradhan Mantri Jan Dhan Yojana (PMJDY) is a financial inclusion program launched by the Government of India. It was initiated on August 28, 2014, with the aim of providing access to financial services to all households in the country, particularly those that were excluded from the formal banking system. The key objectives of the Jan Dhan Yojana include:
- Universal Financial Inclusion: The scheme seeks to ensure that every household in India has access to a bank account, making financial services accessible to even the most marginalized sections of society.
- Access to Banking Services: Under the scheme, account holders are provided with a basic savings account, a RuPay debit card, and access to banking facilities such as deposit and withdrawal services.
- Direct Benefit Transfer (DBT): The Jan Dhan accounts are often used for direct benefit transfers of various government subsidies and welfare schemes. This helps in reducing leakages and ensuring that benefits reach the intended beneficiaries directly.
- Credit Facilities: The scheme also promotes financial literacy and credit availability to the underserved population. It encourages banks to provide overdraft facilities to account holders after a certain period, helping them meet emergency financial needs.
- Insurance and Pension Schemes: Jan Dhan account holders are also eligible for government-backed insurance and pension schemes, providing them with financial security in case of unforeseen events.
- Encouraging Saving Habits: The scheme aims to encourage a culture of saving and financial discipline among the masses.
Q.: What is the primary objective of the Pradhan Mantri Jan Dhan Yojana (PMJDY)?
a) Providing free education to rural children
b) Enhancing agricultural productivity
c) Promoting digital entertainment services
d) Ensuring financial inclusion for all households
Answer: d) Ensuring financial inclusion for all households