Indian Political CompassGovernment Scheme · Active
Pradhan Mantri Jan Dhan Yojana
India's flagship financial inclusion programme, providing zero-balance bank accounts with a RuPay debit card, overdraft facility, and life insurance cover to unbanked households.
What it does
PMJDY enables any Indian resident to open a basic savings bank account at any bank branch or Business Correspondent. The account comes with a RuPay debit card, Rs 1 lakh accident insurance, Rs 30,000 life insurance, and Rs 10,000 overdraft facility (for Aadhaar-linked accounts after six months). The scheme is the foundation for Direct Benefit Transfer — government subsidies and welfare payments are routed to Jan Dhan accounts.
Who it covers
Any Indian resident who does not have a bank account. KYC requirements are relaxed — self-certification is permitted. No minimum balance is required.
Funding
The scheme does not involve direct cash transfers; costs are borne by banks (account maintenance) and the Centre (insurance premiums and transaction subsidies). Total government expenditure is not separately reported.
Scale
Over 530 million accounts opened by 2024, with deposits exceeding Rs 2.3 lakh crore. Women hold about 56% of accounts. The scheme was called the world's largest financial inclusion initiative by the Guinness World Records in 2015.
Criticism and debate
Many accounts were initially dormant ('zero-balance ghost accounts'). Banks complained of unviable unit economics for serving small-balance rural accounts. The overdraft facility has seen low uptake due to strict eligibility conditions. Financial inclusion critics argue account ownership alone does not translate to active financial participation.
Related schemes
Content is editorial draft pending verification against official scheme guidelines, ministry press releases, and independent evaluations. Last reviewed: 2026-07-02.