Union Finance Minister Arun Jaitley spoke about the various measures taken by the government to put the financial inclusion drive at centre stage while delivering the key note address at the Conclave on Finance Inclusion organized by the United Nations in India in the national capital on Wednesday.
The Finance Minister stated that more than 30 crore bank accounts were opened under Pradhan Mantri Jan Dhan Yojna (PMJDY) in order to bring 42% of the population to the mainstream of the economy which was unbanked before.
He also stated that Zero balance account which constituted about 77% of total PMJDY accounts in September 2014 have come down to just 20% as of now and about 22 crore Rupay cards have been issued, indicating the trend that these accounts have been actively used to carry out economic transactions.
He also pointed out that the financial inclusion drive was a multi dimensional approach which included initiatives like Pradhan Mantra Jeevan Jyoti Bima Yojana (PMJJBY) to provide security to the poor via life insurance and Pradhan Mantra Suraksha Bima Yojana (PMSBY) for accidental cover.
He also showcased the positive results of demonetisation which helped in reducing the volume of cash transactions and increase in digitisation, widening of the tax base and more formalization of the economy. He expressed confidence for Aadhar Legislation standing the test of constitutionality. He regarded Aadhar as an important leap forward for the nation because of its high penetration rate (92%) and better targeting of subsidies using DBT which would result in realizing the dual goal of serving the vulnerable and capping the wastage of resources.