Bhaskar Khas: Pradhan Mantri Jan Dhan Yojana total deposits of 2.31 lakh crore, 30 crore women average in 53.13 crore accounts

When we aspire to certain things and work hard to secure them – be it power, position, influence or material wealth – we are only happy with our success for a short time. Then, there is a psychological rehabilitation. What is achieved becomes the benchmark. That which is still elusive becomes the cause of further search or restlessness. This is true for most humans. We take a similar approach with respect to public policies. We cry out for some policy or action. When the government of the day considers a long-standing problem, the bar is raised even higher. There is insufficient acceptance of the achievement and contemplation of adversity – the perpetuation of an inferior status quo. The PM Jan Dhan Yojana (PMJDY), which is celebrating its tenth anniversary, is one such case. For long, we lamented the financial exclusion of crores of Indians. In 2014, the then new NDA government took on the ambitious and challenging task of bringing millions of Indians into the formal financial system. It proved to be a resounding success. As on 14 August 2024, there were 53.13 crore beneficiaries and total deposits of Rs 2.31 lakh crore. About thirty crore women are among the beneficiaries. In a research paper titled 'The Design of Digital Financial Infrastructure: Lessons from India' (BIS Papers No. 106, December 2019), researchers at the Bank for International Settlements said, “Given the low levels of both financial inclusion and formal recognition in 2008, More than a decade ago, the magnitude of the challenges facing India was much greater. The utility of these accounts proved indispensable during the Covid pandemic. The central government directly transferred benefits to these accounts. Around Rs 8.1 lakh crore has been transferred directly into the bank accounts of the beneficiaries during the three financial years. Along with the development of digital payment infrastructure, this facilitates no-touch payments during peak times of the pandemic. PMJDY has facilitated open banking – the sharing of valid customer data to any financial institution. In particular, regions with more PMJDY accounts increased fintech-led credit growth, and the effects were stronger in regions with cheaper and better internet connectivity. Women Entrepreneurs in the Country Can Boost Women in India have a greater savings process, and over time, this can increase financial security for families and boost the national savings rate. Additionally, it can boost female entrepreneurship in the country. About 68 percent of loans sanctioned to women entrepreneurs under the Pradhan Mantri Mudra Yojana and 77.7 percent of beneficiaries under Stand-Up India by May, 2024 are women. As on 30 July 2024, the number of women-owned MSMEs registered on UDYAM and UAP in the country is more than 1.85 crore.

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