What is Jan Dhan Yojana?

On January 20, India was commended by the Guinness Book of World Records for opening maximum number of bank accounts in the shortest possible time under the government's flagship financial inclusion scheme, Jan Dhan Yojana. Over 11.5 crore accounts have been opened under Jan Dhan Yojana in less than five months of its inception. The Pradhan Mantri Jan-Dhan Yojana was launched by Prime Minister Narendra Modi on August 15, 2014. It paves the way for the government's ambitious plan to transfer annual subsidy of around Rs 51,029 crore directly to bank accounts of 15.45 crore beneficiaries in the next year, plugging system leakages. he Finance Minister said during the budget presentation that the idea was to move to a cashless society in the long run.

Under this scheme, every Indian family will be enrolled in a bank for opening a zero balance account. Each of the families living in India is the part of the economic cycle. So once the families have a back account they get connected to the vehicle of economy. With a new bank account each family will be getting a RuPay debit card that they can use to withdraw money from the account. Each people getting into this scheme people will be getting an Rs 30,000 life cover.

Along with the life cover one will also get an accidental cover of 1 lakh. This will add up a value to the various lives in the country. If the person keeps the bank account active and saves some money then the account holder will be given the overdraft limit of Rs 5,000 as priority sector lending that one can withdraw from the account. Jan Dhan is set to be a universal social security framework in India. The government will launch Pradhan Mantri Suraksha Bima Yojana, the Atal Pension Yojana and the Pradhan Mantri Jeevan Jyoti Bima Yojana which have been announced in the budget.