1.5 crore bank accounts opened in the country on Day One

Prime Minister Narendra Modi opened a record 1.5 crore bank accounts across the country on Thursday to mark the launch of the Pradhan Mantri Jan Dhan Yojana (PMJDY) aimed at financial inclusion of all Indians.

The scheme aims to ensure that every household has at least two bank accounts. Each of the 1.5 crore bank accounts opened on Thursday comes with a RuPay debit card, Rs.1 lakh accident insurance cover and an additional Rs. 30,000 life insurance cover. These benefits will apply to all accounts opened before January 26, 2015.

He said the scheme’s launch marked a breakthrough in breaking the vicious cycle of poverty and debt. There were similarities between the poor gaining access to mobile phones and getting access to debit cards as both have the effect of instilling confidence and their pride, he added.

“Never before would insurance companies have issued 1.5 crore accident insurance policies on a single day. Never before in economic history would 1.5 crore bank accounts have been opened on a single day. Never before has the Government of India organised a programme of such scale — over 77,000 locations — with the participation of so many Chief Ministers, Union Ministers, government and bank officials,” Mr. Modi said at the scheme’s launch here.

Though the initial target of the PMJDY was to open bank accounts for 7.5 crore families within a year, he exhorted officials in-charge of the scheme to accomplish the task before Republic Day. For this, Mr. Modi has written to 7.25 lakh bank employees. Finance Minister Arun Jaitley said the PMJDY would be taken forward in mission mode.