Keeping in view the need to improve financial inclusion and the channels for financial savings, various measures have been taken by the Government. Under the landmark initiative of the Government for financial inclusionPradhan Mantri Jan-Dhan Yojana (PMJDY) – about 22.65 crore of bank accounts have been created till 27th July 2016 with a balance of over Rs.40750 crore in these accounts. The initiatives like the re-launch of the certificate savings scheme called Kisan Vikas Patra; Sukanya Samriddhi Yojana to contribute to the financial security to the girl child; and measures taken to rein in inflation; can also add to the financial savings of households. The other initiatives like: increase in the limit of deduction under the Income Tax Act for health insurance premium, contribution to specific pension funds and contribution by the employees to National Pension Scheme; and, increasing the access to formal financial system by utilizing the postal network; also have the potential to boost household savings. Availability of more financial and banking channels is likely to encourage people to save more in financial assets. Government’s initiatives like Make-in-India, Skill India, Start-up India, Stand-up India and other measures to boost productive activities and employment are also likely to improve the savings of Indian labour force.
This information was given by Minister of State for Finance Shri. Arjun Ram Meghwal today in written reply to a Lok Sabha question