With the government’s focus shifting from “every household” to “every unbanked adult”, the PM Jan Dhan Yojana is offering an enhanced overdraft facility to 65 lakh account holders of which 30 lakh availed the benefits to draw Rs 340 crore, the government has told Parliament.
The statistics show impressive progress in financial inclusion of “unbanked” less well off households as apart from a steady increase in account holders, some 26 crore RuPay cards have also been issued. Regular credit ensures an overdraft facility and eligibility for credit guarantee fund for micro units.
Going by the norm that accounts must show at least one “customer-induced” transaction in two years to be counted as “active”, around 76% of Jan Dhan accounts are in use. Many of these are used for direct benefit transfers for welfare schemes and overdraft facility is provided to accounts that show regular credit. The limit has been increased from Rs 5,000 to Rs 10,000 and the age limit to claim OD hiked from 60 to 65 years.
There are, as on December 12, 2018, some 19.6 crore rural and semi-urban beneficiaries and 13.6 crore urban-metro account holders, the ministry of finance told nominated Anglo-Indian MP George Baker and BJP MP Varun Gandhi.
The details provided by the ministry show that UP, with its large population, expectedly has the highest number of 5.2 crore accounts and deposits of Rs 14,882 crore, West Bengal has deposits of Rs 11,470 crore. Bihar is next with deposits of Rs 8,417 crore, Rajasthan with Rs 6,360 crore and Maharashtra and Madhya Pradesh with Rs 5,035 crore and Rs 4,325 crore.
Among larger states that seem to be lagging, Jammu and Kashmir has only 20,40,248 beneficiaries and Tamil Nadu has 93,17,460 account holders. Andhra Pradesh has 92 lakh accounts but only Rs 1,628 crore in deposits.
Odisha has deposits of Rs 3,759 crore and Gujarat of Rs 3,676 crore, while Assam has Rs 2,969 crore. Chhattisgarh has deposits of Rs 2,619 crore, Haryana of Rs 2,695 crore, Jharkhand Rs 2,668 crore, Karnataka Rs 2,862 crore and Punjab Rs 2,361 crore.