New schemes Will Keep bank accounts functional :Jaitley

The Finance Minister Arun Jaitley has said the newly launched social security schemes — two insurance and one pension — will motivate customers to keep their bank accounts functional.

The three social security schemes are to some extent going to help address the problem of 'zero balances' seen with most accounts opened under the Pradhan Mantri Jan Dhan scheme.

This would be the case as the three social security schemes require the premium/ contribution to be debited from the balance available in bank accounts, according to Jaitley.

Prime Minister Narendra Modi on Saturday launched the three social security schemes — Pradhan Mantri Jeevan Jyoti Bima Yojana; Pradhan Mantri Suraksha Bima Yojana; and Atal Pension Yojana.

Meanwhile, the percentage of zero balance accounts in the Pradhan Mantri Jan Dhan Scheme has seen a sharp fall in the last three months.

From a level of 67.3 per cent as of end-January this year, the percentage of zero balance accounts have fallen to 55.75 per cent in end-April.

Jaitley conveyed this to Members of Parliament in a written reply to a Lok Sabha question on Friday.

Jaitley also highlighted that credit of direct benefit transfer under various schemes would further activate these accounts (zero balance accounts).

As of end April, as many as 15.30 crore accounts have been opened by various banks under the Jan Dhan Scheme.

While 9.17 crore accounts have been opened in the rural areas, and about 6.13 crore Jan Dhan accounts have been opened in urban areas.

As many as 13.71 crore RuPay debit cards have been issued. Deposits mobilised under the Pradhan Mantri Jan Dhan scheme stood at Rs 16,192.37 crore.