Schemes Initiated and Revived by Modi Government
After the Prime Minister of India, Mr. Narendra Modi, successfully completed his one year of governance, media did create the review report of the government, thereby listing both the successes and failures after thoroughly analyzing what has been in the center from day one. Needless to say, the first year of the Modi Government has been good for both the government and the party, i.e. Bhartiya Janata Party (BJP). Meanwhile, the government had launched and revived multiple schemes that assured social security to the countrymen, having mammoth significance.
Once taken, these schemes ensure secure and comfy future to people. Below is a list of a few of such plans:
ATAL PENSION YOJANA
A government-backed pension scheme aimed at the unorganized sector in India. The following are the details of the scheme:
- What’s the eligibility? Anyone between the age group 18 to 40 years can subscribe to this pension scheme and need to contribute as long as one turns 60.
- How much does it cost? A person at the age of 40 years has to pay Rs. 291 monthly for 20 years, whereas anyone at the age of 18 years has to pay Rs. 42 monthly for 40 years.
- What are the benefits? A monthly pension of Rs. 1,000 to Rs. 5,000.
- Who can benefit? Employers should purchase this scheme for employees who do not have anyone to look after them after retirement.
PRADHAN MANTRI SURAKSHA BIMA YOJANA
A government-of-India-backed accident insurance scheme of the countrymen, which is available for everyone with the following criteria met:
- What’s the eligibility? Anyone who has a savings account in any of the participating banks can subscribe to this scheme.
- How much does it cost? An annual premium of Rs. 12 is payable through an ‘auto-debit’ facility under the scheme with the participating banks.
- What are the benefits? An accidental disability or death benefit of Rs. 2, 00,000 payable to insured or the nominee in the later case.
- Who can benefit? The policy is open to everyone who seeks accidental death/disability benefit but is recommended for frequent travelers or commuters like drivers, and vendors of newspapers, vegetables etc.
PRADHAN MANTRI JEEVAN JYOTI BIMA YOJANA
A life insurance scheme backed by the government of India mainly targeted at the sole earners of the family. The following are the features:
- What’s the eligibility? Anyone whose age is in between 18 to 70 years and has a savings account in any of the banks that are participating in the scheme.
- How much does it cost? An annual premium of Rs. 330 is debited from the savings account of the policyholder.
- What are the benefits? An accidental death benefit of Rs. 2, 00,000 payable to dependents/insured’s family.
- Who can benefit? The policy is open to everyone who seeks the security of the future of their dependents’ future, especially who is the sole earner in the family.
PRADHAN MANTRI JAN DHAN YOJANA
A national scheme for financial inclusion targeted at ensuring affordable access to financial services, such as savings accounts at the banks, insurance, credit, remittance, and pension. The following are the features:
- What’s the eligibility? This scheme was introduced for people that belong to economically weaker sections of the country. The scheme is also linked to schemes like LPG subsidy introduced by the Govt.
- How much does it cost? The scheme does not require any annual premium or any one-time payment.
- What are the benefits? The scheme provides accident benefit of Rs. 1, 00,000 and life cover of Rs. 30, 000. The scheme requires the beneficiaries to have a Rupay Debit/ATM Card with zero minimum balance.
- Who can benefit? The scheme is open for everyone who belongs to the said society of the country. Any benefits (payment in rupees) payable is directly transferred to beneficiary’s bank account. This will help them used to online banking.
POST OFFICE TIME DEPOSIT AND BANK FDs
- What’s the eligibility? This scheme is open to everyone who has a savings account or an Aadhar Card.
- How much does it cost? The scheme does require a minimum premium of Rs. 200, whereas there is no maximum limit of payment.
- What are the benefits? The term deposit yields 8.4 percent with tenure ranging between 1 to 4 years, whereas a term deposit of tenure 5 years yields 8.5 percent. A bank FD, on the other hand, in the name of the parents (typically, senior citizens) of the employer yields 9 to 9.5 percent.
- Who can benefit? Employers should purchase this scheme for their employees who are unorganized works, such as a down payment for a home loan, the fee for coaching class and the like.
KISAN VIKAS PATRA
Launched by India Post in 1988, Kisan Vikas Patra (KVP) is a ‘saving certificate scheme’ backed by Government of India. This scheme features investment with least risk factors. The following are the features:
- What’s the eligibility? This scheme is open to everyone in India.
- How much does it cost? The denominations are available in the multiples of 1000, i.e. Rs. 1000, Rs. 2000, Rs. 3000, and Rs. 5000. There is no maximum cap on investment amount, whereas minimum investment is Rs. 1000.
- What are the benefits? The scheme assures to double the invested amount in 110 months (9 years and 2 months) at an annual interest rate of Rs. 7.8 percent.
- Who can benefit? Anyone who wishes to invest in KVP in order to fund requirement of their medium terms.
SUKANYA SAMRIDDHI ACCOUNT SCHEME
A government-of-India-backed savings scheme for the parents of a girl child, aiming at enabling them to save funds for her higher education and marriage. The following are the features:
- What’s the eligibility? The scheme is open for enrollment of any girl child below 10 years of age.
- How much does it cost? The scheme does require a minimum premium of Rs. 1000 while the maximum limit of payment is Rs. 1, 50,000.
- What are the benefits? The scheme assures a guaranteed annual return on invested amount at an annual rate of 9.2 percent.
- Who can benefit? The citizens of India, who cannot afford the education of the girl child and she has to discontinue her studies. This saving scheme is beneficial for those who prefer boy child’s education is more important than a girl child’s. In any case, these savings can otherwise be used for her marriage.
Government-backed insurance companies providing sum assured in the event of a medical emergency due to a sudden illness. Multiple public sector insurance companies offer these schemes for the benefit of the individuals. The following are the features
- What’s the eligibility? The insurance policy is available for anyone whose age is in between 18 to 40 years.
- How much does it cost? The scheme does require a minimum annual premium of Rs. 700 to Rs. 800 for a sum assured of Rs. 50, 000.
- What are the benefits? The insurer bears hospitalization expenses in the event of a medical emergency. The coverage for a sudden hospitalization and surgery is offered by the insurer.
- Who can benefit? Anyone who has taken the policy can benefit from the sum assured. Understanding the need for coverage against medical expenses that might wash out lifelong savings on an individual, the sum assured is kept decent for an annual premium of Rs. 700 to Rs. 800. The government of India has no involvement in the scheme while one can take this policy from a state-owned general insurance company, viz. Oriental Insurance and New India Assurance.
Alternately, one can opt for any of the few dozen health insurance providers that operate in the private sector. Some of the leading general insurance companies that offer health insurance policies to individuals include HDFC ERGO General Insurance, ICICI Lombard General Insurance, Bajaj Allianz General Insurance and more.
PRADHAN MANTRI AWAS YOJANA (URBAN)
Based on the vision of Narendra Modi, Prime Minister of India, this scheme has identified over 305 cities across 9 states and the corresponding construction has already been started. The following are the features:
Launched in June 2015, this government-of-India-backed scheme aimed at making sure that people from urban areas have a better living. The scheme was also called ‘Housing for All’.
The scheme proposed 2 Crore houses for poor would be built for poor in urban areas by 2022, including for those who are from lower income groups and economically weaker section of the society. For this, a strong financial assistance of USD 30billion (approx. Rs. 2 trillion) was also approved by the central government. Once developed, the houses under the scheme will be registered in the name of females individually or jointly with their male partners.
PRADHAN MANTRI FASAL BIMA YOJANA
Launched on 13th January 2016, this crop insurance scheme was aimed at helping out farmers to reduce the financial burden by avoiding taking loan for the cultivation as well as protect them from inclement weather conditions. The plan also included making claim settlement process a bit more flexible, easier, and faster in order to avoid any hassle the farmers might have faced earlier. The farmers in each state will be able to benefit from the scheme once implemented in association with the state government.
Scheme objective: providing insurance cover to farmers when they face the failure of a notified crop due to natural calamities or a like scenario, aiming at stabilizing their income.
Crops covered: Food crop, such as Pulses, Millets, and Cereals; Oilseeds; Annul horticultural/Commercial crops.
Risks covered: Standing crop, Localized calamities, Post-harvest losses, and Planting risk/prevented sowing.
DIGITAL INDIA PROGRAMME
This campaign was aimed at ensuring that Indian citizens are able to access government services by the means of improved online infrastructure, Internet connectivity, electronically, or by empowering the country digitally, especially in the massive division of Information Technology.
Launched on July 2, 2015 by the Government of India, the scheme also included the plan to provide Indian villagers with the high-speed Internet connectivity, which was initiated by Mr. Narendra Modi, the current Prime Minister of India. This initiative was taken with a vision of improving in the multiple areas, viz. Manufacturing and corresponding job opportunities, electronic services, products and so on. The custodian of this project would be the entity of the government of India, Bharat Broadband Network Limited for the execution of the project ‘National Optical Fibre Network’.
Under the facilities of this project include e-education, e-sign, digital locker, and e-health, and national scholarship portal. The government of India has also planned to introduce centers for Botnet cleaning. On the other hand, people would be able to electronically store their essential documents viz. PAN Card, Mark sheets, Passport, and other Degrees and Certificates in the Digital Locker. Any documents issued by the government of India would be provided secure services, provided Aadhar would be the prime identification criteria.
DEEN DAYAL UPADHYAYA GRAM JYOTI YOJANA
This scheme was launched and backed by the government of India, aiming at providing continuous and uninterrupted power supply to the rural section of India. Launched in 2015 by the government of Mr. Narendra Modi, the scheme was named after a great political philosopher of India, Deen Dayal Upadhyaya.
This scheme was launched to replace an existing scheme called, Rajiv Gandhi Grameen Vidyutikaran Yojana. Under the new scheme, the government of India planned an investment of USD 11billion (approx. Rs. 756 billion) for the electrification of rural India. This scheme was launched to conquer the following problems:
- In villages, both agricultural and non-agricultural customers are serviced by a network of local distributors, taking care of domestic as well as non-domestic load. However, a large area of rural India still does not get the proper power supply, which leads to forced resorting to load shedding. Correspondingly, the power supply to both agricultural and non-agricultural customers is affected.
- The increasing customer base in rural areas is demanding more and more power supply for taking care of their needs, including lifestyle change, improved living standards, and agricultural needs. These needs must be taken care of properly.
- Improper distribution channel and its corresponding bad financial health of rural India leads to low investment. This demands augmentation of reliability, and thus, there is a strong need of strengthening the infrastructure of rural India.
- There is a need for metering the customers in various categories in order to significantly improve the viability of distribution of power in commercial areas.
Thus, launching the Deen Dayal Upadhyaya Gram Jyoti Yojana scheme had certain objectives and the government of India had to keep the above problems in view. The following are its key objectives:
- Electrification of rural India.
- Assured continuous power supply to farmers and other customers by separating the feeder.
- Improved quality and reliable supply network through improved sub-transmission and distribution channel.
- Minimization of losses through metering.
Over the years, the government of India has been launching various schemes to enhance digital literacy, power supply network, houses for rural India, health insurance for weaker sections of the society, education and marriage of girl child, post-retirement pension, subsidy and old-age pensions, and so on. These schemes require an equal participation of us individuals not only for the success of the government of India but also for our own benefit.