Foundations laid by PMJDY strong, have even more work to do, says PM Modi

On the tenth anniversary of the Prime Minister Jan Dhan Yojana (PMJDY), Prime Minister Narendra Modi stated that his government will continue to build on this success to create a Viksit Bharat.

“The foundations laid by this scheme are strong, but we have even more work to do! We will continue to build on this success to create a Viksit Bharat,” PM Modi said in his LinkedIn post.

He further added that the life journeys of those who have benefited from this scheme (PMJDY) are very touching and inspiring.

“PM Jan Dhan Yojana personifies dignity, empowerment, and the opportunity to participate in the economic life of the nation,” said Modi.

 

As of August 14, 2024, PMJDY has achieved remarkable success, with over 531 million beneficiaries and total deposits exceeding Rs 2.3 trillion. Significantly, nearly 300 million of these beneficiaries are women.

“Today is also the occasion to congratulate each and every beneficiary of this scheme and laud the efforts of the countless banking staff who made financial inclusion their mission and ensured a better life for their fellow Indians!” he added.

Over 65 per cent of the accounts are in rural or semi-urban areas, extending the movement of financial inclusion beyond the metros.

“Many of you, especially the youth, might be wondering—why does this matter so much? After all, in this age, having a bank account seems very basic and even taken for granted. However, when we assumed office in 2014, the situation was very different. It was almost 65 years since Independence, but access to banking was a distant dream for almost half of our households,” said PM Modi.

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

“Theirs was a world where savings were kept at home, vulnerable to loss and theft. Access to credit was often at the mercy of predatory lenders. The absence of financial security held back many dreams. This problem becomes even more ironic considering that four and a half decades ago, banks were nationalised by the then Congress Government in the name of the poor! Yet, the poor never got access to banking,” said PM Modi.

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.

“Likewise, the benefits of the scheme and the additional benefits that come with a bank account have positively impacted crores of SC, ST, and OBC families. They have also benefitted families belonging to the middle and neo-middle classes,” said PM Modi.

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.

“Had it not been for the Jan Dhan Yojana, the MUDRA Yojana, or the social security schemes of the Government, namely the Pradhan Mantri Jeevan Jyoti Bima Yojana, Pradhan Mantri Suraksha Bima Yojana, and the Atal Pension Yojana, they would never have been as impactful,” added PM Modi.

PM Modi further stated that Jan Dhan has also become a vital pillar of the JAM Trinity—Jan Dhan, Aadhaar, and Mobile. The landmark contribution of this trinity was to eliminate the scourge of middlemen and touts who, for decades, thrived on public loot.

“It is this trinity that ensured a stunning digital payments revolution in India, especially in the middle and later years of the last decade. The very same elements who doubted the relevance of a scheme like Jan Dhan were yet again mocking the need for digital payments in a nation like ours,” he added.