Paradigm Shift in Financial Inclusion : PradhanMantri Jan-DhanYojana A Study to asses the progress report of PMJDY

Abstract

Financial Inclusion, defined as making financial services accessible to all individuals and business. It has gained attention among policymakers & researchers worldwide (Allen et al. 2016; Fungacova and Weill 2014). Financial Inclusion is directly linked to economic growth and financial well being of a nation.

Financial inclusion is emerging as new paradigm of economic growth. It is designed to empower economically and socially excluded people by creating equal opportunities so that they could participate in and contribute to the nation building. Basic agenda is to include people from economically & social weaker segment in the ambit of Formal Financial System of the nation, which in turn leads to participation by all segments in economic development of the nation. Financial Inclusion is emerging as a new standard of Economic Growth and Development

Hon'ble Prime Minister, Sh. Narendra Modi on 15 August, 2014 announced "PradhanMantri Jan-Dhan Yojana (PMJDY)" which is a National Mission for Financial Inclusion.The task is gigantic and is a National Priority. This National Mission on Financial Inclusion has an ambitious objective of covering all households in the country with banking facilities and having a bank account for each household. It has been emphasised by the Hon'ble PM that this is important for including people left-out into the mainstream of the financial system.

The present paper will  assess the progress made under this scheme in achieving the target of Financial Inclusion .