By launching social security schemes – Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY), and Atal Pension Yojana (pension scheme) – last year, the Centre has not only taken its financial inclusion drive a step further, but also tried to address the problem of very low penetration levels.
Over the past year, about three crore policies have been issued under the PMJJBY scheme (life insurance). This is more than the 2.6-odd crore new life policies issued during the whole of financial year 2014-15. The response under PMSBY (personal accident) has been stronger. More than 9.2 crore people have enrolled for the scheme. Until 2014, just 17 crore people were covered under personal accident insurance. Around 15.85 lakh people have registered for the Atal Pension Yojana so far.
Beyond bank accounts
Banks have opened over 20 crore bank accounts under the Pradhan Mantri Jan Dhan Yojana (PMJDY).
However, realising that opening of such accounts alone cannot guarantee financial inclusion, the Centre has resolved the dormancy issue to some extent by routing subsidies through these accounts. According to the latest data on Jan Dhan, about 30 per cent of the accounts have zero balance, down from more than 60 per cent last year.
Currently, the Centre is using direct benefit transfers for 35-40 schemes, and about Rs. 40,000 crore was directly transferred to beneficiaries in calendar year 2015.
