The Ministry of Finance, through its financial inclusion led interventions, is committed to provide financial inclusiveness and support to the marginalised and hitherto socio-economically neglected classes.

Through Financial Inclusion (FI) we can achieve equitable and inclusive growth of the nation. Financial Inclusion stands for delivery of appropriate financial services at an affordable cost, on timely basis to vulnerable groups such as low-income groups and weaker sections who lack access to even the most basic banking services.

It is important as it provides an avenue to the poor for bringing their savings into the formal financial system, an avenue to remit money to their families in villages besides taking them out of the clutches of the usurious money lenders.

A key initiative towards this commitment is the Pradhan Mantri Jan Dhan Yojna (PMJDY), which is one of the biggest financial inclusion initiatives in the world.

PMJDY was announced by Prime Minister, Shri Narendra Modi in his Independence Day address on 15th August 2014. While launching the programme on 28th August, the Prime Minister had described the occasion as a festival to celebrate the liberation of the poor from a vicious cycle.

On the occasion 8th Anniversary of PMJDY, Union Finance Minister Nirmala Sitharaman in her message said that. “Financial inclusion is a major step towards inclusive growth which ensures the overall economic development of the marginalised sections of the society. The success of the PMJDY since August 28, 2014 is reflected in terms of opening of over 46 crore bank accounts with deposit balance of Rs 1.74 lakh crore with its expanded coverage to 67% rural or semi-urban areas as well as 56% of women Jan Dhan account holders. Continuation of PMJDY beyond 2018 saw a marked shift in approach to meet challenges and requirements of emerging FI landscape in the country. There has been a shift in focus from “every household’ to “every adult”, with added emphasis on usage of accounts by enhancing Direct Benefit Transfer (DBT) flows through these accounts, promoting digital payments through the use of RuPay cards, etc, She added.”

“The underlying pillars of PMJDY, namely, Banking the Unbanked, Securing the Unsecured and Funding the Unfunded has made it possible to adopt multi-stakeholders’ collaborative approach while leveraging technology for serving the unserved and underserved areas as well,” the Finance Minister said.

The Finance Minister further stated in her message that, “The JAM pipeline created through account holders’ consent-based linking of bank accounts with Aadhar and mobile numbers of the account holders, which is one of the important pillars of FI ecosystem, has enabled instant DBT under various government welfare schemes to the eligible beneficiaries. The advantage of the architecture created under FI ecosystem came handy during the Covid-19 pandemic when it facilitated direct income support to farmers under PM-KISAN and transfer of ex-gratia payment to women PMJDY account holders under PMGKP in a seamless and time-bound manner.

Sitharaman concluded her message and said, “Financial Inclusion needs policy-led intervention based on an architecture linked to suitable financial products, information and communication technologies and data infrastructure.

The country has adopted this strategy since the launch of PMJDY to optimise the intended benefits of the scheme for the people of the country. I thank all the field functionaries for their untiring efforts in making PMJDY a grand success.

Expressing his thoughts for PMJDY on this occasion, Union Minister of State for Finance Bhagwat Karad said, “Pradhan Mantri Jan Dhan Yojana (PMJDY) has been one of the most far reaching initiatives towards Financial Inclusion not only in India but in the world. Financial Inclusion is among top-most priorities of the Government as it is an enabler for inclusive growth. It provides an avenue to the poor for bringing their savings into the formal financial system, an avenue to remit money to their families besides taking them out of the clutches of the usurious money lenders.”

Karad said, “On the 8th Anniversary of PMJDY, the importance of this Scheme is reiterated. PMJDY has become the foundation stone for the government's people-centric economic initiatives. Whether it is direct benefit transfers, COVID-19 financial assistance, PM-KISAN, increased wages under MGNREGA, life and health insurance cover, the first step is to provide every adult with a bank account, which PMJDY has nearly completed.”

“I am confident that banks will rise to the occasion and contribute to this national endeavour in significant measure and re-dedicate your selves to ensure that each and every adult is covered under the Financial Inclusion initiatives of the government,” Dr Karad said.

As we complete 8 years of successful implementation of this Scheme, we take a look at the major aspects and achievements of this Scheme so far.