Will open 30 million Jan-Dhan accounts this FY, says FM Sitharaman

On the eve of the 10th anniversary of Pradhan Mantri Jan-Dhan Yojana (PMJDY), Union Finance Minister Nirmala Sitharaman announced that the government aims to open over 30 million new PMJDY accounts during 2024-25.

Briefing reporters, Sitharaman revealed that as of August 14, 2024, a total of 531.3 million Jan-Dhan accounts have been opened since the scheme’s launch a decade ago, with a cumulative deposit balance of Rs 2.3 trillion.

The average balance per account has increased from Rs 1,065 in March 2015 to Rs 4,352 as of August 16, 2024. Roughly 80 per cent of these accounts are currently active.

“PMJDY has played a crucial role during the pandemic, especially for women,” said Sitharaman.

Despite the allowance for zero balance and the absence of a minimum balance requirement, only 8.4 per cent of the accounts maintain a zero balance. The scheme has been particularly effective in rural and semi-urban areas, where 66.6 per cent of the accounts are located.

As of August 14, 2024, women account holders represent 55.6 per cent of the total accounts, amounting to 295.6 million accounts, according to the Ministry of Finance.

Currently, 99.95 per cent of all inhabited villages have banking facilities available within a 5-kilometre radius through various touchpoints, including bank branches, automated teller machines, banking correspondents, and India Post Payments Bank.

As of August 14, 2024, there are over 1.73 billion operative CASA (current account savings account) accounts in the country, including more than 530 million operative PMJDY accounts.

Regarding social security schemes, Sitharaman highlighted that over 200 million cumulative enrolments have provided life insurance coverage of Rs 2 lakh under the Pradhan Mantri Jeevan Jyoti Bima Yojana, with an annual premium of Rs 436.

Additionally, over 450 million cumulative enrolments have offered one-year accidental cover of Rs 2 lakh (for death or permanent total disability) and Rs 1 lakh (for permanent partial disability) under the Pradhan Mantri Suraksha Bima Yojana, with a premium of Rs 20 per year.

The Atal Pension Yojana has registered over 68 million subscribers.

In terms of credit-linked schemes, Sitharaman reported that under the Pradhan Mantri Mudra Yojana, 489.2 million cumulative loans amounting to Rs 29.93 trillion (as of July 12, 2024) have been sanctioned to provide collateral-free institutional finance to micro and small business units up to Rs 10 lakh for income-generating activities.

Under the Stand Up India Scheme, 236,000 cumulative loans totalling Rs 53,609 crore (as of July 15, 2024) have been sanctioned to Scheduled Caste, Scheduled Tribe, and women entrepreneurs for setting up greenfield projects.

Additionally, the Pradhan Mantri SVANidhi scheme has sanctioned loans worth Rs 12,630 crore to 6.52 million street vendors as of August 27, 2024.

Milestone Metrics

·         Pradhan Mantri Jan-Dhan Yojana (PMJDY) launched on August 28, 2014

·         PMJDY cumulative deposit balance of Rs 2.3 trillion

·         There are over 1.73 billion operative CASA accounts

·         Women account holders comprise 55.6% of total accounts