A critical study on the role of Pradhan Mantri Jan Dhan Yojana (PMJDY) explaining the highlights of the scheme, Benefits, progress and latest updates in Financial Inclusion.

1. Prepared By-
Meenu Mittal
MBA
A critical study on the role of Pradhan Mantri Jan
Dhan Yojana in Financial Inclusion

2. INTRODUCTION
•Financial inclusion is the delivery
of financial services at affordable
costs to sections of disadvantaged
and low-income segments of society.

3.  On 15th August 2014, hon’ble Prime Minister Mr. Narendra Modi
announced its flagship programme Pradhan Mantri Jan Dhan
Yojana (PMJDY) which was launched on 28th August 2014 in
77000 areas.
 The name Jan Dhan was chosen through an online competition on the
MyGov Platform and received more than 6000 suggestion from
Indian citizens.
 The aim of the scheme is access to banking facilities, financial
literacy, and access to credit, insurance and pension facility.
 As per the scheme one could open an account in any bank branch or
Business correspondent outlet with zero balance.
 The slogan for the Pradhan Mantri Jan Dhan mission is Mera khata
Bhagya Vidhata

4. HIGHLIGHTS OF THE SCHEME:
 Interest on Deposit
 Accidental insurance cover of Rs. 1 lakh.
 No minimum balance required
 Life insurance cover of Rs.30000.
 Easy transfer of money across India
 Beneficiaries of Government Schemes will get Direct Benefit
Transfer in those account
 After satisfactory operation of the account for 6 months an
overdraft facility will be permitted.
 Access to pension, insurance products
 Overdraft facility up to Rs. 5000 is available in only one account
per household, preferably lady of the household.

5. ACTION PLAN FOR IMPLEMENTING PMJDY
PMJDY scheme is being implemented in two phases.
Phase-I of PMJDY
The first phase of this scheme starts from August 15, 2014 to August
14, 2015 which envisages the following:
 Universal access to banking facilities in all areas except areas
with infrastructure and connectivity constraints like parts of North
East, Himachal Pradesh, Uttarakhand, J&K and 82 Left wing
Extremism(LWE) districts.
 Providing basic banking accounts and Rupay Debit card which has
inbuilt accident insurance cover of Rs1 lakh. Aadhaar no will be
seeded to make account ready for DBT payment.
 Financial literacy Programme

6. PHASE-II OF PMJDY
The period of Phase II is August 15, 2015 to
August 14, 2018 which focuses on the following:
 Overdraft facility up to Rs. 5000 after six months of
satisfactory operation/history .
 Micro insurance
 Unorganized sector Pension schemes.

7. OBJECTIVES OF THE STUDY
 To understand the present scenario of Pradhan Mantri Jan Dhan
Yojana.
 To understand and evaluate the role of the government, banks and
the Business correspondent in the implementation of Pradhan
Mantri Jan Dhan Yojana.
 To understand the new perspective in Pradhan Mantri Jan Dhan
Yojana.

8. RESEARCH METHODOLOGY
 The study is mainly based on the secondary data.
 Secondary data is also collected from various sources like books,
journals, reports, magazines, internet & newspapers.

9. STATISTICAL TOOLS AND TECHNIQUES
 In this study data is collected from secondary sources & this
collected information processed through statistical tools like
tabulation, percentage, graphs and Charts.

10. PERFORMANCE AND PROGRESS OF PMJDY
Table 1: Number Of Accounts Opened Under PMJDYAs On 07.09.2016
(All Figures In Crores)
Bank
Name
Rural Urban Total No. of
Rupay
Cards
Aadhaar
Seeded
Balance In
Accounts
% Of The
Zero-
Balance
Account
Public
Sector
Bank
10.79 8.46 19.25 15.39 10.27 33705.87 24.68
Regional
Rural
Bank
3.59 0.58 4.17 2.88 1.77 7260.81 20.80
Private
Banks
0.52 0.33 0.85 0.79 0.36 1538.02 36.56
Total 14.90 9.37 24.27 19.06 12.39 42504.70 24.43

11. 0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
1
Public Sector Bank Regional Rural Bank Private Banks
% of bank accounts opened in rural
% of bank accounts opened in
urban
72.41%
24.09%
3.48%
90.28%
6.1%
3.5%

12. TABLE 2: REPORT ON OVERDRAFT
(SANCTIONED/DISBURSED) UNDER PMJDY - AUGUST
2016
Total No Accounts Offered
For OD 6980434 3%
Total No Accounts OD
Sanctioned 3862001 55%
Total No Accounts OD
Availed 2157911 56%
Amt. Total OD Availed (In
Lacs) Rs. 28814.59

13. TABLE 3: PROGRESS REPORT ON PRADHAN MANTRI
SURAKSHA BIMA YOJANA (PMSBY)
As on
29/08/2016
As on
22/08/2016
Addn/Red over
the week
Addn/ Redn
during the
previous week
Total no of
persons enrolled 9.650 crore 9.643 crore 0.70 lakh 0.70 lakh
Total no of
claims received 7916 7784 132 137
Total no. of
claims disbursed 5202 5138 64 191

14. TABLE 4: PROGRESS REPORT ON PRADHAN MANTRI
JEEVAN JYOTI BIMA YOJANA (PMJJBY)
As on
29/08/2016
As on
22/08/2016
Addn/Red over
the week
Addn/ Redn
during the
previous week
Total no of
persons enrolled 3.043 crore 3.041 crore 0.2lakh 0.1 lakh
Total no of
claims received 40663 40032 631 888
Total no. of
claims disbursed
(cumulative) 35164 34209 955 808

15. TABLE 5: STATEWISE ACCOUNT OPENING REPORT AS
ON 07/09/2016
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
Total Accounts Deposit (in Crore) Zero Balance Accounts
UTTAR PRADESH
BIHAR
WEST BENGAL
15%
10%
10%
16%
8%
15%
9%
8%

16. TABLE 6: STATEWISE ACCOUNT OPENING REPORT AS
ON 07/09/2016
State Name Total Accounts
Deposit (in
Crore)
Zero
BalanceAccounts
Rupay Card
Issued
LAKSHADEEP 5273 4.63 1317 4244
DAMAN & DIU 30407 6.87 5083 23744
ANDAMAN &
NICOBAR 54682 20.53 17269 46427
Grand Total 242686376 42504.71 59295855 190631911

17. TREND OF ZERO BALANCE ACCOUNTS UNDER PMJDY

18. TOP 5 BANKS IN RUPAY CARD ACTIVATION ( % OF
RRB’S INCLUDED WHEREVER APPLICABLE)

19. TOP 5 BANKS COVERING SKILLING CENTRES
491
442
429
360
352
State Bank Of India
Punjab National Bank
Central Bank Of India
Bank Of Baroda
Syndicate Bank

20. TOP FIVE BANKS COVERING SCHOOLS
3266
2489
1899
1089
1088
Bank Of Baroda
Allabhad Bank
Central Bank Of India
Bank Of India
Union Bank of India

21. TABLE 7: FINANCIAL LITERACY TRACKING
Total Banks Participating 40
Total participating FLC's 1374
Total Verified FLC's 1289
Participants Covered By Schools 19.37lacs
Participants Covered By Skilling Centers 3lac
Total Skilling Centers 17442
Mapped Skilling Centers 17418

22. CONCLUSION
 The PMJDY scheme of the government, with support from all
banks, is trying hard to bring in the under privileged into the
financial inclusion circuit.
 The major barriers to financial inclusion,are lack of financial
understanding, poor people‟s low income.
 Performance of the Public sector banks are good as compared to
the Regional rural banks and Private sector banks.
 It found that, total 24.27 crores accounts were opened with total
deposits of 42504.7 crores, out of which, 24.43 per cent accounts
were opened with zero balance.

25. THANK YOU