The Pradhan Mantri Jan Dhan Yojana (PMJDY) on August 28, 2024, completed ten years of its implementation. The scheme launched in 2014, has proven to be the foundation stone in bringing over 80 per cent of Indian women under the ambit of financial inclusion, reported ANI.
A significant boost in the bank account ownership of women in a decade, it has gone up from just 26 per cent in 2011 to 78 per cent in 2021.
Out of the total 53.13 crore Jan Dhan accounts over 30 crore are women’s accounts. Over 35 crore of the Jan Dhan account hail from rural or semi-urban areas.
The government’s focus on Digital Public infrastructure along with the trinity of Aadhar cards, mobile penetration and Jan Dhan accounts, the JAM trinity has propelled the financial inclusion rate from 25 per cent in 2008 to over 80 per cent of adults in the last 6 years.
PMJDY has been the foundation stone for many more people-centric economic initiatives. Whether it is direct benefit transfers, COVID-19 financial assistance, PM-KISAN, increased wages under MGNREGA, or life and health insurance coverage.
An SBI report in 2021 observed that states with higher PMJDY account balances saw a drop in crime rates and reduced alcohol and tobacco consumption, highlighting the program’s positive social impact.
The Jan Dhan Yojana has garnered global praise for its transformative impact on financial inclusion in India.
In 2023, a G20 report by the World Bank reveals that India has achieved its financial inclusion goals in just 6 years, a feat that would have taken 47 years without its advanced Digital Public Infrastructure.
India has surpassed China in financial inclusion metrics says the SBI report of 2021, as per the ANI report. Mobile and Internet banking transactions soared to 13,615 per 1,000 adults in 2020, up from 183 in 2015, while the number of bank branches per 100,000 adults rose to 14.7, exceeding those in Germany, China, and South Africa.
PM, FM laud Jan Dhan Yojana
Prime Minister Narendra Modi on Wednesday lauded the Jan Dhan Yojana after the scheme completed 10 years and said that it has been paramount in boosting financial inclusion and giving dignity to crores of people.
In a post on X, PM Modi said, “Today, we mark a momentous occasion– 10 Years of JanDhan. Congratulations to all the beneficiaries and compliments to all those who worked to make this scheme a success. Jan Dhan Yojana has been paramount in boosting financial inclusion and giving dignity to crores of people, especially women, youth, and marginalized communities.”
The PMJDY was announced by Prime Minister Narendra Modi in his Independence Day address on 15th August 2014.
— narendramodi (@narendramodi)
On this occasion, Union Minister for Finance and Corporate Affairs Nirmala Sitharaman, in a message, said, “Universal and affordable access to formal banking services is essential for achieving financial inclusion and empowerment. It integrates the poor into the economic mainstream and plays a crucial role in the development of marginalised communities.”
“By providing universal, affordable, and formal financial services — including bank accounts, small savings schemes, insurance, and credit — to the previously unbanked, PM Jan Dhan Yojana has transformed the banking and financial landscape of the country over the last decade,” the Union Finance Minister said.
“The success of the initiative is reflected in 53 crore people having been brought into the formal banking system through the opening of Jan Dhan Accounts. These bank accounts have garnered a deposit balance of Rs. 2.3 lakh crore, and resulted in the issuance of over 36 crore free-of-cost RuPay cards, which also provide for a Rs 2 lakh accident insurance cover. Notably, there are no account opening fees or maintenance charges and no requirement to maintain a minimum balance,” Sitharaman said.
“It is heartening to note that 67 per cent of the accounts have been opened in rural or semi-urban areas, and 55 per cent of accounts have been opened by women,” the Union Finance Minister said.
“The consent-based pipeline created through the linking of Jan Dhan-Mobile-Adhaar has been one of the most important pillars of the financial inclusion ecosystem. It has enabled swift, seamless and transparent transfer of Government welfare schemes to eligible beneficiaries and promoted digital payments,” Sitharaman said.
Ministry of Finance on Wednesday said in a statement that the PMJDY-led initiatives have produced both transformational as well as directional change. It has strengthened banks and financial institution ecosystems to deliver financial services to the last person in society.
(With inputs from agencies)
