The online Atal Pension Yojana (APY), a lead pension plan of the government to cover the workers in the unorganised sector, has crossed 1.9 crore subscriber mark, This has been brought forward by the pension regulator which is Pension Fund Regulatory and Development Authority (PFRDA).
Under the APY, there is a guaranteed minimum monthly pension for the subscribers going between Rs. 1000 and Rs. 5000 every month. The advantage of minimum pension would be guaranteed by the Government of India (GoI). GoI will likewise co-contribute half of the subscriber’s contribution or Rs. 1000 for each annum, whichever is less. Government co-commitment is accessible for individuals who are not covered by any Statutory Social Security Schemes and isn’t income taxpayer.
The essential purpose behind the uptick in enrollment was the accomplishment of targets dispensed to banks for the opening of new APY accounts, it said in a statement which goes as follows:
“In this budgetary year, the reaction towards the enlistment of APY was overpowering, and more than 36 lakh Atal Pension Yojana accounts have been included till October 31, 2019, showing the development of 33 per cent in contrast with 26 per cent development during the relating time frame, last financial,” PFRDA said.
The PFRDA is controlling APY. Out of the 36 lakh new APY accounts, 27.5 lakh were sourced by public sector banks, 5.5 lakh accounts by regional rural banks and around 3 lakh accounts by the private sector and payment banks.
Among public sector banks, State Bank of India contributed about 11.5 lakh increments in APY accounts pursued by Canara Bank and Bank of India. As far as average account per branch, SBI sourced highest APY accounts pursued by Indian Bank and Bank of India.
Among RRBs, Baroda Uttar Pradesh Gramin Bank, Dakshin Bihar Gramin Bank and Andhra Pradesh Grameena Vikas Bank sourced a maximum number of APY accounts, though as far as average accounts per branch Tripura Gramin Bank, Maharashtra Gramin Bank and Baroda Uttar Pradesh Gramin Bank topped the list. This is a boom in e-governance services.
In the payments bank classification, Airtel Payments Bank has sourced around 1.8 lakh APY accounts so far in this monetary, against the yearly focus of 50,000 APY accounts.
Under private sector bank class, HDFC Bank was the top contributor regarding a number of enrollments while Karnataka Bank was the best performer as far as average account per branch.
The PFRDA has made sure to grow the subscribers base under APY by focusing on 2.25 crore individuals by March 2020, who have a place in the unorganised sector and are not secured under any social security scheme, the statement said the following:
“There is a long way to go as currently there are around 45 crore people in the unorganised sector. However, with the government support the target of providing pension coverage to these many people can be achieved, albeit with other government social security schemes,” it added.
The pension sector regulator has been arranging different promotional campaigns and town corridor gatherings for the promotion of APY through banks and taking it to the next level and contribute towards making India a pensioned society.