Pradhan Mantri Jan-Dhan Yojana (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 beneficiaries 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.
Objective of 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.
Benefits under PMJDY:
- One basic savings bank account is opened for unbanked person.
- There is no requirement to maintain any minimum balance in PMJDY accounts.
- Interest is earned on the deposit in PMJDY accounts.
- Rupay Debit card is provided to PMJDY account holder.
- Accident Insurance Cover of Rs.1 lakh (enhanced to Rs. 2 lakh to new PMJDY accounts opened after 28.8.2018) is available with RuPay card issued to the PMJDY account holders.
- An overdraft (OD) facility up to Rs. 10,000 to eligible account holders is available.
- PMJDY accounts are eligible for Direct Benefit Transfer (DBT), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY), Atal Pension Yojana (APY), Micro Units Development & Refinance Agency Bank (MUDRA) scheme.
The National Mission on Financial Inclusion aims to provide equitable access to basic banking facilities for all segments of society, with a particular focus on marginalized and vulnerable groups. The program has adopted several targeted strategies to address inequalities and ensure financial inclusion for specific sub-populations, as detailed below:
- Targeted Inclusion of Vulnerable Groups
The program prioritizes outreach to underserved and marginalized populations, including women, rural households, small farmers, daily wage earners, and migrant laborers.
Special efforts have been made to expand access for populations in geographically remote and economically backward regions, including tribal areas and conflict-affected zones.
- Simplified and Flexible Account Opening Procedures
To ensure inclusivity, account-opening requirements have been simplified with minimal documentation.
The program also facilitates small accounts with relaxed Know Your Customer (KYC) norms to accommodate individuals lacking formal identification or address proofs.
- Gender-Focused Initiatives
Women have been prioritized as account holders to promote financial autonomy and social empowerment.
Beneficiaries as on 5/Feb/2025:
- No. of PMJDY accounts- 54.80 crore
- Balances in PMJDY accounts- 2,46,596 crore
- No. of Rupay Debit Cards issued- 37.47 crore
- No. of Women beneficiaries- 30.50 crore
- No. of Rural beneficiaries- 36.47 crore
Note: A "Crore" is a unit in the Indian numbering system, equivalent to 10 million (10,000,000).
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To ensure effective governance and timely implementation of the Universal Financial Inclusion Program (PMJDY), a robust administrative structure is in place at the central, state, and district levels. This structure facilitates regular monitoring, interdepartmental coordination, and resolution of challenges at Central State and administrative district.
-Monthly monitoring at the top government level and about the implementation of the Scheme
The progress report can be consulted here: https://pmjdy.gov.in/account
Pradhan Mantri Jan-Dhan Yojana (PMJDY) has a proven record of positive impact on providing universal access to banking services, resulting in the opening of millions of bank accounts, particularly for the unbanked population. PMJDY has significantly reduced reliance on informal money lenders.
PMJDY Progress report: https://pmjdy.gov.in/account
Between 2014 and 2017, the percentage of the Indian population with an account at a financial institution increased from 53 to 80 percent; that is, more than 300 million people were brought into the formal financial sector.4 This is considerably above the world average (68.5 percent), South Asia (70 percent), and lower-middle-income countries (58 percent). Based on cross-country comparison, D’Silva and others (2019) underscored that this represented an impressive leapfrogging of traditional financial development, as similar expansions in financial access elsewhere have taken almost half a century. Moreover, the gap in financial access between the rich and poor narrowed, and the gender gap in financial access also improved—55 percent of PMJDY account holders are women and 67 percent of accounts are in rural and semiurban areas.
Digital payments have helped improve the ability to target government support to households during COVID-19, particularly to women. According to a survey conducted by the National Payments Corporation of India,18 the Direct Benefit Transfers delivery system worked exceedingly well during the pandemic-related lockdown, as about 90 percent of low-income households eligible for direct benefit transfers received government support post lockdown. Moreover, under the Pradhan Mantri Garib Kalyan Yojana scheme, more than about 200 million PMJDY accounts of women were credited with a total of Rs0.3 trillion.- Adequate infrastructure, especially in rural areas, is crucial.
- Financial literacy programs and access to tailored financial products enhance the effectiveness of the program.
- Inclusion of vulnerable groups like women and the elderly by simplifying documentation and providing community- based support.
- Effective coordination between Government, Banks and other stakeholders is essential to avoid delays and inefficiencies
- Reserve Bank of India (RBl)
- National Bank for Agriculture and Rural Development (NABARD)
- Institute for Development and Research in Banking Technology (IDBRT)
- Indian Institute of Banking and Finance (IIBF)
- National Payments Corporation of lndia (NPCI)
- NlTl Aayog
- World Bank
- International Monetary Fund (lMF)
- Consultative Group to Assist the Poor (cGAP)
- Better Than Cash Alliance (BTCA)
- Global Partnership for Financial inclusion (GPFr)
SDG 1: No Poverty
- Target 1.3: Implement nationally appropriate social protection systems and measures for all, including floors, and achieve substantial coverage of the poor and vulnerable.
- Indicator 1.3.1: Proportion of population covered by social protection floors/systems, by sex, distinguishing children, unemployed persons, older persons, persons with disabilities, pregnant women, newborns, work-injury victims, and the poor and vulnerable.
- Target 1.4: By 2030, ensure that all men and women, particularly the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership, and control over land and other forms of property, inheritance, natural resources, appropriate new technology, and financial services, including microfinance.
- Indicator 1.4.1: Proportion of population living in households with access to basic services.
- Indicator 1.4.2: Proportion of total adult population with secure tenure rights to land, with legally recognized documentation and who perceive their rights to land as secure, by sex and type of tenure.
Target 1.5: Build the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events and other economic, social, and environmental shocks and disasters.
- Indicator 1.5.1: Number of deaths, missing persons, and directly affected persons attributed to disasters per 100,000 population.
- Indicator 1.5.3: Number of countries that adopt and implement national disaster risk reduction strategies in line with the Sendai Framework for Disaster Risk Reduction 2015–2030.
SDG 2: Zero Hunger
Target 2.1: By 2030, end hunger and ensure access by all people, particularly the poor and people in vulnerable situations, including infants, to safe, nutritious, and sufficient food all year round.
- Indicator 2.1.2: Prevalence of moderate or severe food insecurity in the population, based on the Food Insecurity Experience Scale (FIES).
SDG 5: Gender Equality
Target 5.a: Undertake reforms to give women equal rights to economic resources, as well as access to ownership and control over land and other forms of property, financial services, inheritance, and natural resources, in accordance with national laws.
- Indicator 5.a.1: (a) Proportion of total agricultural population with ownership or secure rights over agricultural land, by sex; and (b) share of women among owners or rights-bearers of agricultural land, by type of tenure.
- Indicator 5.a.2: Proportion of countries where the legal framework (including customary law) guarantees women’s equal rights to land ownership and/or control.
SDG 8: Decent Work and Economic Growth
Target 8.10: Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance, and financial services for all.
- Indicator 8.10.1: (a) Number of commercial bank branches per 100,000 adults; and (b) number of automated teller machines (ATMs) per 100,000 adults.
- Indicator 8.10.2: Proportion of adults (15 years and older) with an account at a bank or other financial institution or with a mobile-money-service provider.
SDG 10: Reduced Inequalities
Target 10.2: By 2030, empower and promote the social, economic, and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion, or economic or other status.
- Indicator 10.2.1: Proportion of people living below 50% of median income, by age, sex, and persons with disabilities.
SDG 1: No Poverty
- Target 1.3: Implement nationally appropriate social protection systems and measures for all, including floors, and achieve substantial coverage of the poor and vulnerable.
- Indicator 1.3.1: Proportion of population covered by social protection floors/systems, by sex, distinguishing children, unemployed persons, older persons, persons with disabilities, pregnant women, newborns, work-injury victims, and the poor and vulnerable.
- Target 1.4: By 2030, ensure that all men and women, particularly the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership, and control over land and other forms of property, inheritance, natural resources, appropriate new technology, and financial services, including microfinance.
- Indicator 1.4.1: Proportion of population living in households with access to basic services.
- Indicator 1.4.2: Proportion of total adult population with secure tenure rights to land, with legally recognized documentation and who perceive their rights to land as secure, by sex and type of tenure.
Target 1.5: Build the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events and other economic, social, and environmental shocks and disasters.
- Indicator 1.5.1: Number of deaths, missing persons, and directly affected persons attributed to disasters per 100,000 population.
- Indicator 1.5.3: Number of countries that adopt and implement national disaster risk reduction strategies in line with the Sendai Framework for Disaster Risk Reduction 2015–2030.
SDG 2: Zero Hunger
Target 2.1: By 2030, end hunger and ensure access by all people, particularly the poor and people in vulnerable situations, including infants, to safe, nutritious, and sufficient food all year round.
- Indicator 2.1.2: Prevalence of moderate or severe food insecurity in the population, based on the Food Insecurity Experience Scale (FIES).
SDG 5: Gender Equality
Target 5.a: Undertake reforms to give women equal rights to economic resources, as well as access to ownership and control over land and other forms of property, financial services, inheritance, and natural resources, in accordance with national laws.
- Indicator 5.a.1: (a) Proportion of total agricultural population with ownership or secure rights over agricultural land, by sex; and (b) share of women among owners or rights-bearers of agricultural land, by type of tenure.
- Indicator 5.a.2: Proportion of countries where the legal framework (including customary law) guarantees women’s equal rights to land ownership and/or control.
SDG 8: Decent Work and Economic Growth
Target 8.10: Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance, and financial services for all.
- Indicator 8.10.1: (a) Number of commercial bank branches per 100,000 adults; and (b) number of automated teller machines (ATMs) per 100,000 adults.
- Indicator 8.10.2: Proportion of adults (15 years and older) with an account at a bank or other financial institution or with a mobile-money-service provider.
SDG 10: Reduced Inequalities
Target 10.2: By 2030, empower and promote the social, economic, and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion, or economic or other status.
- Indicator 10.2.1: Proportion of people living below 50% of median income, by age, sex, and persons with disabilities.
Pradhan Mantri Jan-Dhan Yojana (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 beneficiaries 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.
Objective of 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.
Benefits under PMJDY:
- One basic savings bank account is opened for unbanked person.
- There is no requirement to maintain any minimum balance in PMJDY accounts.
- Interest is earned on the deposit in PMJDY accounts.
- Rupay Debit card is provided to PMJDY account holder.
- Accident Insurance Cover of Rs.1 lakh (enhanced to Rs. 2 lakh to new PMJDY accounts opened after 28.8.2018) is available with RuPay card issued to the PMJDY account holders.
- An overdraft (OD) facility up to Rs. 10,000 to eligible account holders is available.
- PMJDY accounts are eligible for Direct Benefit Transfer (DBT), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY), Atal Pension Yojana (APY), Micro Units Development & Refinance Agency Bank (MUDRA) scheme.
The National Mission on Financial Inclusion aims to provide equitable access to basic banking facilities for all segments of society, with a particular focus on marginalized and vulnerable groups. The program has adopted several targeted strategies to address inequalities and ensure financial inclusion for specific sub-populations, as detailed below:
- Targeted Inclusion of Vulnerable Groups
The program prioritizes outreach to underserved and marginalized populations, including women, rural households, small farmers, daily wage earners, and migrant laborers.
Special efforts have been made to expand access for populations in geographically remote and economically backward regions, including tribal areas and conflict-affected zones.
- Simplified and Flexible Account Opening Procedures
To ensure inclusivity, account-opening requirements have been simplified with minimal documentation.
The program also facilitates small accounts with relaxed Know Your Customer (KYC) norms to accommodate individuals lacking formal identification or address proofs.
- Gender-Focused Initiatives
Women have been prioritized as account holders to promote financial autonomy and social empowerment.
- Adequate infrastructure, especially in rural areas, is crucial.
- Financial literacy programs and access to tailored financial products enhance the effectiveness of the program.
- Inclusion of vulnerable groups like women and the elderly by simplifying documentation and providing community- based support.
- Effective coordination between Government, Banks and other stakeholders is essential to avoid delays and inefficiencies
Inclusive credit and financial services; Digital transformation of social protection information systems
- Reserve Bank of India (RBl)
- National Bank for Agriculture and Rural Development (NABARD)
- Institute for Development and Research in Banking Technology (IDBRT)
- Indian Institute of Banking and Finance (IIBF)
- National Payments Corporation of lndia (NPCI)
- NlTl Aayog
- World Bank
- International Monetary Fund (lMF)
- Consultative Group to Assist the Poor (cGAP)
- Better Than Cash Alliance (BTCA)
- Global Partnership for Financial inclusion (GPFr)
To ensure effective governance and timely implementation of the Universal Financial Inclusion Program (PMJDY), a robust administrative structure is in place at the central, state, and district levels. This structure facilitates regular monitoring, interdepartmental coordination, and resolution of challenges at Central State and administrative district.
Beneficiaries as on 5/Feb/2025:
- No. of PMJDY accounts- 54.80 crore
- Balances in PMJDY accounts- 2,46,596 crore
- No. of Rupay Debit Cards issued- 37.47 crore
- No. of Women beneficiaries- 30.50 crore
- No. of Rural beneficiaries- 36.47 crore
Note: A “Crore” is a unit in the Indian numbering system, equivalent to 10 million (10,000,000).
–
-Monthly monitoring at the top government level and about the implementation of the Scheme
The progress report can be consulted here: https://pmjdy.gov.in/account