Professional Documents
Culture Documents
Prepared by
Prakash Kumar
Introduction
Pradhan Mantri Jan Dhan Yojana (PMJDY), is financial inclusion program of Government of
India that aims to expand and make affordable access to financial services such as bank accounts,
remittances, credit, insurance and pensions. This financial inclusion campaign was launched by
the Prime Minister of India Narendra Modi on 15 August 2014.[1] He had announced this scheme
on his first Independence Day speech on 15 August 2014.
Objective
Objective of "Pradhan Mantri Jan-Dhan Yojana (PMJDY)" is ensuring access to various
financial services like availability of basic savings bank account, access to need based credit,
remittances facility, insurance and pension to the excluded sections i.e. weaker sections & low
income groups. This deep penetration at affordable cost is possible only with effective use of
technology.
PMJDY is a National Mission on Financial Inclusion encompassing an integrated approach to
bring about comprehensive financial inclusion of all the households in the country. The plan
envisages universal access to banking facilities with at least one basic banking account for every
household, financial literacy, access to credit, insurance and pension facility. In addition, the
beneficiaries would get Rupay Debit card having inbuilt accident insurance cover of र 1 lakh. The
plan also envisages channeling all Government benefits (from Centre / State / Local Body) to the
beneficiary’s accounts and pushing the Direct Benefits Transfer (DBT) scheme of the Union
Government. The technological issues like poor connectivity, on-line transactions will be
addressed. Mobile transactions through telecom operators and their established centres as Cash
Out Points are also planned to be used for Financial Inclusion under the Scheme. Also an effort is
being made to reach out to the youth of this country to participate in this Mission Mode
Programme.
Scheme Details
Pradhan Mantri Jan-Dhan Yojana (PMJDY) is National Mission for Financial Inclusion to ensure
access to financial services, namely, Banking/ Savings & Deposit Accounts, Remittance, Credit,
Insurance, Pension in an affordable manner.
Account can be opened in any bank branch or Business Correspondent (Bank Mitr) outlet.
Accounts opened under PMJDY are being opened with Zero balance. However, if the account-
holder wishes to get cheque book, he/she will have to fulfill minimum balance criteria.
Document required to open an account under Pradhan Mantri Jan-Dhan
Yojana
An account can be opened by presenting an officially valid document.
1. The passport,
2. The driving license
3. The Permanent Account Number (PAN) Card,
4. The Voter’s Identity Card issued by Election Commission of India,
5. Job card issued by NREGA duly signed by an officer of the State Government,
6. The letter issued by the Unique Identification Authority of India containing details of name,
address and Aadhaar number, or
7. any other document as notified by the Central Government in consultation with the
Regulator:
Provided that where simplified measures are applied for verifying the identity of the clients
the following documents shall be deemed to be officially valid documents:—
Reserve Bank of India (RBI), vide its Press Release dated 26.08.2014, has further clarified that
those persons who do not have any of the ‘officially valid documents’ can open “Small Accounts”
with banks. A “Small Account” can be opened on the basis of a self-attested photograph and
putting his/her signatures or thumb print in the presence of officials of the bank. Such accounts
have limitations regarding the aggregate credits (not more than Rupees one lakh in a year),
aggregate withdrawals (nor more than Rupees ten thousand in a month) and balance in the accounts
(not more than Rupees fifty thousand at any point of time). These accounts would be valid
normally for a period of twelve months. Thereafter, such accounts would be allowed to continue
for a further period of twelve more months, if the account-holder provides a document showing
that he/she has applied for any of the Officially Valid Document, within 12 months of opening the
small account.
Special Benefits under PMJDY Scheme
1. Interest on deposit.
2. Accidental insurance cover of Rs. 1.00 lac
3. No minimum balance required.
4. The scheme provide life cover of Rs. 30,000/- payable on death of the beneficiary, subject
to fulfillment of the eligibility condition.
5. Easy Transfer of money across India
6. Beneficiaries of Government Schemes will get Direct Benefit Transfer in these accounts.
7. After satisfactory operation of the account for 6 months, an overdraft facility will be
permitted
8. Access to Pension, insurance products.
9. The Claim under Personal Accidental Insurance under PMJDY shall be payable if the
Rupay Card holder have performed minimum one successful financial or non-financial
customer induced transaction at any Bank Branch, Bank Mitra, ATM, POS, E-COM etc.
Channel both Intra and Inter-bank i.e. on-us (Bank Customer/rupay card holder transacting
at same Bank channels) and off-us (Bank Customer/Rupay card holder transacting at other
Bank Channels) within 90 days prior to date of accident including accident date will be
included as eligible transactions under the Rupay Insurance Program 2016-2017.
10. Overdraft facility up to Rs.5000/- is available in only one account per household, preferably
lady of the household.
Number of Number of
Number of
Beneficiaries at Beneficiaries at No Of Rural- Number of Deposits in
Bank Name / Rupay Debit
rural/semi urban urban metro Urban Female Total Accounts(In
Type Cards issued to
centre bank centre bank Beneficiaries Beneficiaries Crore)
beneficiaries
branches branches
Public Sector
14.23 12.18 14.03 26.41 65670.03 19.97
Banks
Regional
4.50 0.83 2.93 5.33 17043.07 3.72
Rural Banks
Private Sector
0.61 0.40 0.53 1.00 2195.11 0.93
Banks
Grand Total 19.34 13.41 17.49 32.75 84908.21 24.62
Source of www.pmjy.gov.in
100000 84908.21
80000 65670.03
60000
40000
17043.07
20000 14.234.50.61
19.34 12.18
0.830.413.41 14.03
2.930.53
17.49 26.41
5.33 132.75 2195.11 19.97 24.62
3.720.93
0
Number of Number of No Of Rural- Number of Deposits in Number of
Beneficiaries at Beneficiaries at Urban Female Total Accounts(In Rupay Debit
rural/semi urban metro Beneficiaries Beneficiaries Crore) Cards issued to
urban centre centre bank beneficiaries
bank branches branches
Public Sector Banks Regional Rural Banks Private Sector Banks Grand Total
Statewise Report of Account Open till 28 August, 2018
Central Bank of
10002041 2257561 12259602 250600.29 11408659
India
Oriental Bank of
2515830 1896653 4412483 341520.40 3858459
Commerce
Punjab National
15935445 2863507 18798952 383606.89 17830318
Bank
Public Sector
142508707 121972357 264481064 6575593.13 199990486
Banks Sub Total
Number of Number of
Bank Number of Deposits in Number of Rupay
Beneficiaries at Beneficiaries at urban
Name / Total Accounts(In Debit Cards issued
rural/semi urban metro centre bank
Type Beneficiaries lac) to beneficiaries
centre bank branches branches
Public
Sector 142508707 121972357 264481064 6575593.13 199990486
Banks
Regional
Rural 45157256 8306461 53463717 1710808.23 37240610
Banks
Private
Sector 6058374 3977340 10035714 218999.10 9311031
Banks
Grand
193724337 134256158 327980495 8505400.46 246542127
Total
(A) Public Sector Banks
Number of
Beneficiaries at Number of Beneficiaries Number of Deposits in Number of Rupay
Bank Name /
rural/semi urban at urban metro centre Total Accounts(In Debit Cards issued to
Type
centre bank bank branches Beneficiaries lac) beneficiaries
branches
Allahabad Bank 971028 169314 1140342 30191.76 781002
Andhra Bank 167498 17457 184955 3040.19 101170
Bank of Baroda 5332535 1484551 6817086 196692.69 5300493
Bank of India 3218994 1063372 4282366 89915.95 3782331
Bank of
1008038 140318 1148356 28657.07 798847
Maharashtra
Canara Bank 654871 445684 1100555 55269.42 1072097
Central Bank of
3443615 811229 4254844 123233.12 3782078
India
Dena Bank 421356 14315 435671 14895.29 294405
Indian Bank 450143 151622 601765 7828.28 496331
Indian
1014447 30654 1045101 32414.18 616138
Overseas Bank
Jammu &
Kashmir Bank 108295 18226 126521 6064.02 22126
Ltd
Punjab & Sind
20158 1424 21582 10.59 19655
Bank
Punjab National
3160450 573593 3734043 135297.29 3200939
Bank
State Bank of
11533177 2269033 13802210 594972.30 6408325
India
Syndicate Bank 2074820 556962 2631782 97885.55 2504218
UCO Bank 1693958 61281 1755239 38282.32 559347
Union Bank of
1127057 390339 1517396 38634.59 761940
India
United Bank of
8756816 107087 8863903 217523.63 6739168
India
Regional Rural
Banks Sub 45157256 8306461 53463717 1710808.23 37240610
Total
(C) Major Private Banks
Number of Rupay
Number of Beneficiaries Number of Beneficiaries Number of Deposits in
Bank Name / Debit Cards
at rural/semi urban centre at urban metro centre Total Accounts(In
Type issued to
bank branches bank branches Beneficiaries lac)
beneficiaries
South Indian
30622 180384 211006 4730.08 59893
Bank Ltd
Major Private
Banks Sub 6058374 3977340 10035714 218999.10 9311031
Total
Public Sector Banks, Regional Rural Banks and Major Private Sector Banks.
Source of www.pmjy.gov.in
(a) Bank wise Report as on 26/09/2011
Public Sector Banks Regional Rural Banks Private Sector Banks Grand Total
(b) Public Bank wise Report as on 26 September, 2018 (Under the comes
nationalized Bank)
RRBs Report
Number of Beneficiaries at rural/semi urban centre bank branches
Number of Beneficiaries at urban metro centre bank branches
Number of Total Beneficiaries
Deposits in Accounts(In lac)
Number of Rupay Debit Cards issued to beneficiaries
15000000
10000000
5000000
Pradhan Mantri MUDRA Yojana (PMMY) is a scheme launched by the Hon’ble Prime Minister
on April 8, 2015 for providing loans up to 10 lakh to the non-corporate, non-farm small/micro
enterprises. These loans are classified as MUDRA loans under PMMY. These loans are given by
Commercial Banks, RRBs, Small Finance Banks, Cooperative Banks, MFIs and NBFCs. The
borrower can approach any of the lending institutions mentioned above or can apply online through
this portal. Under the aegis of PMMY, MUDRA has created three products namely 'Shishu'
'Kishore' and 'Tarun' to signify the stage of growth development and funding needs of the
beneficiary micro unit entrepreneur and also provide a reference point for the next phase of
graduation growth.
Introduction-:
In the above backdrop the Micro Units Development & Refinance Agency Ltd (MUDRA) was set
up by the Government of India. MUDRA has been initially formed as a wholly owned subsidiary
of Small Industries Development bank of India (SIDBI) with 100% capital being contributed by
it. Presently, the authorized capital of MUDRA is 1000 crores and paid up capital is 750 crore,
fully subscribed by SIDBI. More capital is expected to enhance the functioning of MUDRA.
This Agency would be responsible for developing and refinancing all Micro-enterprises sector by
supporting the finance Institutions which are in the business of lending to micro small business
entities engaged in manufacturing, trading and service activities. MUDRA would partner with
Banks, MFIs and other lending institutions at state level / regional level to provide micro finance
support to the micro enterprise sector in the country
Micro Finance is an economic development tool whose objective is to provide income generating
opportunities to the people at the bottom of the pyramid. It covers a range of services which
include, in addition to the provision of credit, many other credit plus services, financial literacy
and other social support services.
Role and Responsibility-:
MUDRA has been formed with primary objective of developing the micro enterprise sector in the
country by extending various support including financial support in the form of refinance, so as to
achieve the goal of funding the unfunded The GOI Press release of 2 March 2015 has laid down
the roles and responsibilities of MUDRA.
Subsequently GOI has also decided that MUDRA will provide refinance support, monitor the
PMMY data by managing the web portal, facilitate offering guarantees for loans granted under
PMMY and take up other activities assigned to it from time to time. Accordingly MUDRA has
been carrying out these functions over the last one year.
Mudra Vision-:
To be an integrated financial and support services provider par excellence benchmarked with
global best practices and standards for the bottom of the pyramid universe for their comprehensive
economic and social development.
Mudra Mission-:
To create an inclusive, sustainable and value based entrepreneurial culture, in collaboration with
our partner institutions in achieving economic success and financial security.
Mudra Purpose-:
Our basic purpose is to attain development in an inclusive and sustainable manner by supporting
and promoting partner institutions and creating an ecosystem of growth for micro enterprises
sector.
Micro Enterprises
Micro enterprises constitute a major economic segment in our country and provides large
employment after agriculture. This segment include micro units engaged in manufacturing,
processing, trading and services sector. It provides employment to nearly 10 crore people. Many
of these units are proprietary/ single ownership or Own Account enterprises and many a time
referred as Non Corporate Small Business sector.
And Manufacturing, Service and Trading is 30%, 34% or 36%. We can be understood by
diagram.
Micro Enterprises
Manufacturing
Trading 30%
36%
Service
34%
Manufacturing Service Trading
Board of Director-:
S.no Name Post
1 Shri Mohammad Mustafa Chairman
2 Shri Aalok Gupta MD & CEO
3 Shri Aravind Kumar Jain Independent Director
5 Shri Pillarisetti satish Independent Director
6 Shri Manoj Mittal IAS
PMMY Offering-:
Under the aegis of Pradhan Mantri Mudra Yojana (PMMY), MUDRA has created products
schemes. The interventions have been named 'Shishu', 'Kishor' and 'Tarun' to signify the stage of
growth development and funding needs of the beneficiary micro unit entrepreneur and also provide
a reference point for the next phase of graduation growth to look forward to :
It would be ensured that more focus is given to Shishu Category Units and then Kishor and Tarun
Categories.
Within the framework and overall objective of development and growth of micro enterprises sector
under Shishu, Kishor and Tarun, the products being offered by MUDRA are so designed, to meet
requirements of different sectors / business activities as well as business / entrepreneur segments.
The funding support from MUDRA are of four types:
Micro Credit Scheme (MCS) for loans up to 1 lakh finance through MFIs.
Refinance Scheme for Commercial Banks / Regional Rural Banks (RRBs) / Scheduled Co-
operative Banks
Women Enterprise Programme.
Securitization of loan portfolio.
Mudra loan is extended for a variety of purposes which provide income generation and
employment creation. The loans are extended mainly for:
Business loan for Vendors, Traders, Shopkeepers and other Service Sector activities
Working capital loan through MUDRA Cards
Equipment Finance for Micro Units
Transport Vehicle loans
Following is an illustrative list of the activities that can be covered under MUDRA loans:
Transport Vehicle
Purchase of transport vehicles for goods and personal transport such as auto rickshaw, small goods
transport vehicle, 3 wheelers, e-rickshaw, passenger cars, taxis, etc.
MUDRA Card
MUDRA Card is an innovative product which provides working capital facility as a cash credit
arrangement. MUDRA Card is a debit card issued against the MUDRA loan account, for working
capital portion of the loan. The borrower can make use of MUDRA Card in multiple withdrawal
and credit, so as to manage the working capital limit in a most efficient manner and keep the
interest burden minimum. MUDRA Card will also help in digitalization of MUDRA transactions
and creating credit history for the borrower.
National Payment Corporation of India (NPCI) has given Rupay branding to MUDRA Card and
also separate BIN / IIN for the same, by which credit history can be tracked.
MUDRA Card can be operated across the country for withdrawal of cash from any ATM / micro
ATM and also make payment through any ‘Point of Sale’ machines.
The design of the MUDRA card as approved by DFS, GoI and NPCI is given below. Banks can
customize the same by incorporating their logo and name.
39701047
PMMY LOANS GRAPH
34880924
18914957
180528.54
175312.13
137449.27
132954.73
101228.54
253677.1
246437.4
95442.99
120000
100000
80000
60000
40000
20000
0
No. of Amounts Amounts No. of Amounts Amounts No. of Amounts Amounts
Accounts Sanction Disburse Accounts Sanction Disburse Accounts Sanction Disburse
Scheme 1. Shishu 2. Kishor 3. Tarun
(Rs. In ed (Rs. d (Rs. In (Rs. In ed (Rs. d (Rs. In (Rs. In ed (Rs. d (Rs. In
Lakh) In Crore) Crore) Lakh) In Crore) Crore) Lakh) In Crore) Crore)
2015-16 324.01 62894.96 62027.69 20.69 43052.55 41073.28 4.1 31501.76 29853.76
2016-17 364.98 85100.74 83891.88 26.64 53545.14 51063.12 5.4 41882.66 40357.13
2017-18 426.69 106001.6 104228.1 46.53 86732.16 83197.05 8.06 60943.34 59012.25
120000
100000
80000
60000
40000
20000
0
PMJJBY_:
The Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a one year life insurance scheme,
renewable from year to year, offering coverage for death due to any reason and is available to
people in the age group of 18 to 50 years (life cover up to age 55) having a savings bank account
who give their consent to join and enable auto-debit. The risk cover on the lives of the enrolled
persons has commenced from 1st June 2015.
Under PMJJBY scheme, life cover of Rs. 2 lakhs is available for a one year period stretching from
1st June to 31st May at a premium of Rs.330/- per
annum per member and is renewable every year. It is
offered administered through LIC and other Indian
private Life Insurance companies. For enrolment
banks have tied up with insurance companies.
Participating Bank is the Master policy holder
The assurance on the life of the member shall
terminate on any of the following events and no
benefit will become payable there under:
1) On attaining age 55 years (age near birth day)
subject to annual renewal up to that date (entry,
However, will not be possible beyond the age of 50
years).
2) Closure of account with the Bank or insufficiency of balance to keep the insurance in force.
3) A person can join PMJJBY with one Insurance company with one bank account only.
Individuals who exit the scheme at any point may re-join the scheme in future years by paying the
annual premium and submitting a self-declaration of good health. Initial enrolment period in the
scheme was from 1st May to 31st May ‘2015, which has now been extended up to 31st Aug’ 2015,
by this date eligible persons can join the scheme without giving self-certification of good health,
even though eligible persons can join the scheme on any date by paying the premium for full year.
In case of claim the nominees/heirs of the insured person have to contact respective bank branch
where the insured person was having bank account. A death certificate and simple claim form is
required to submit and the claim amount will be transferred to nominees account.
PMSBY:-
In light of the fact that a large proportion of the population have no accidental insurance cover, the
Pradhan Mantri Suraksha Bima Yojana (PMJJBY) is aimed at covering the uncovered population
at an highly affordable premium of just Rs.12 per year. The Scheme will be available to people in
the age group 18 to 70 years with a savings bank account who give their consent to join and enable
auto-debit on or before 31st May for the coverage period 1st June to 31st May on an annual renewal
basis.
Under the said scheme, risk coverage available will be Rs. 2 lakh for accidental death and
permanent total disability and Rs. 1 lakh for permanent partial disability, for a one year period
stretching from 1st June to 31st May. It is
offered by Public Sector General Insurance
Companies or any other General Insurance
Company who are willing to offer the product
on similar terms with necessary approvals and
tie up with banks for this purpose. Participating
Bank will be the Master policy holder on behalf
of the participating subscribers. It will be the
responsibility of the participating bank to
recover the appropriate annual premium in one
instalment, as per the option, from the account
holders on or before the due date through ‘auto-
debit’ process and transfer the amount due to the
insurance company.
Individuals who exit the scheme at any point may re-join the scheme in future years by paying the
annual premium, subject to conditions. Further, in order to assure a hassle free claim settlement
experience for the claimants a simple and subscriber friendly administration & claim settlement
process has been put in place.
To ensure that the benefits of this scheme is brought to every uninsured individual, who holds a
bank account, wide publicity was given for this social security measure through electronic media,
radio, posters, newspapers advertisements etc. Enrollment forms were widely distributed. Highly
publicized Enrollment camps were conducted by Banks, and Insurance Companies, mobilizing the
entire network of SLBC coordinators, state and district level nodal officers, agents and banking
correspondents, thereby fully utilizing the reach of these channels, for attracting large scale
enrolment in the scheme.
Between the date of commencement of enrolment on 01st May till the date of launch of the scheme
by the PM on 9th May, 4.42 Crore subscribers were enrolled in the PMJJBY scheme.
The simplified procedures and the documentary requirements and the procedures to be followed
in case of a claim under the policy has been widely publicized through posters and advertisements
at every location and point of contact which a claimant is likely to get in touch in case of an
accident resulting in a claim under the scheme.
An IT enabled, web based system is in the process of being established to keep the claimants
informed seamlessly about the progress and status of the claim, till it’s settlement.
Claim settlement will be made to the bank account of the insured or his nominee in case of death
of the account holder.
The enrolment drive is continuing without loss of momentum till date. As on 31st May, that is, on
the eve of commencement date of the policy, the number enrolled under PMSBY scheme had
reached 7.29 Crores.
Immediately after the close of the first phase of enrolments, banks have started the process of auto
debit of premium in the accounts of the enrollees and remittance of premium to the insurers. So
far premium has been debited to around 65% of the accounts.
The enrollment is open till 31st August and the drive is continuing. Till 18th June 2015 the number
of enrolled under PMSBY stands at 7.68 Crore.
The scheme is expected to serve the goal of financial inclusion by achieving penetration of
insurance down to the weaker sections of the society, ensuring their or their family’s financial
security, which otherwise gets pulled to the ground in case of any unexpected and unfortunate
accident.
APY:-
Atal Pension Yojana (APY) is open to all bank account holders. The Central Government would
also co-contribute 50% of the total contribution or Rs. 1000 per annum, whichever is lower, to
each eligible subscriber, for a period of 5 years, i.e., from Financial Year 2015- 16 to 2019-20,
who join the APY before 31st December, 2015, and who are not members of any statutory social
security scheme and who are not income tax payers. Therefore, APY will be focused on all citizens
in the unorganized sector.
Under APY, the monthly pension would be available to the subscriber, and after him to his spouse
and after their death, the pension corpus, as accumulated at age 60 of the subscriber, would be
returned to the nominee of the subscriber.
Under the APY, the subscribers would receive the fixed minimum pension of Rs. 1000 per month,
Rs. 2000 per month, Rs. 3000 per month, Rs. 4000 per month, Rs. 5000 per month, at the age of
60 years, depending on their contributions, which itself would be based on the age of joining the
APY. Therefore, the benefit of minimum pension would be guaranteed by the Government.
However, if higher investment returns are received on the contributions of subscribers of APY,
higher pension would be paid to the subscribers.
Under the APY, the subscribers would receive the fixed minimum pension of Rs. 1000 per month,
Rs. 2000 per month, Rs. 3000 per month, Rs. 4000 per month, Rs. 5000 per month, at the age of
60 years, depending on their contributions, which itself would be based on the age of joining the
APY. Therefore, the benefit of minimum pension would be guaranteed by the Government.
However, if higher investment returns are received on the contributions of subscribers of APY,
higher pension would be paid to the subscribers.
A subscriber joining the scheme of Rs. 1,000 monthly pension at the age of 18 years would be
required to contribute Rs. 42 per month. However, if he joins at age 40, he has to contribute Rs.
291 per month. Similarly, a subscriber joining the scheme of Rs. 5,000 monthly pension at the age
of 18 years would be required to contribute Rs. 210 per month. However, if he joins at age 40, he
has to contribute Rs. 1,454 per month. Therefore, it is better to join early in the Scheme. The
contribution levels, the age of entry and the pension amounts are available in a table given in
frequently asked questions (FAQs) on APY, which is available on www.jansuraksha.gov.in.
The minimum age of joining APY is 18 years and maximum age is 40 years. Therefore, minimum
period of contribution by any subscriber under APY would be 20 years or more.