Atal Pension Yojana Current Affairs - 2020

PFRDA suggests comprehensive Scheme to the Finance Ministry

On May 17, 2020, the Pension Fund and Regulatory Authority (PFRDA) of India suggested comprehensive scheme to the Ministry of Finance. Under the scheme, the social security measures for the people with low income are to be explored.

Highlights

The PFRDA has suggested comprehensive pension scheme to take along Pradhan Mantri Jeevan Jyoti Bima Yojana, Atal Pension Yojana.

What is the plan?

Under Jeevan Jyoti Bima Yojana, Rs 330 is being charged on yearly basis and Rs 12 per year is being charged under Suraksha Bima Yojana. The charges on Atal Pension Yojana is also quite low. The plan is to club all these schemes together.

Significance of integration

The integration increases the stability of the pension system. Also, the integration increases the growth rate of the pension schemes. This will also increase the number of entities participating in the scheme. This in turn improves social security of the workers. And also, the integration during COVID-19 period will support liquidity flow in the country.

Atal Pension Yojana

The APY had completed 5 years in May 2020 with more than 2.23 crore subscribers.

Atal Pension Yojana completes 5 years

The “Atal Pension Yojana” launched on May 9, 2015, has completed 5 years of its implementation. The total enrollment under the scheme as on May 9, 2020 was 2,23,54,028.

Highlights

During the first two years of the launch of the initiative, there were 50 lakh subscribers. In the third year, the numbers doubled with 100 lakh subscribers. In the third year, the numbers increased to 100 lakhs. The milestone of 1.5 crores enrollment was achieved in the fourth year.

Features of the Scheme

The Scheme can be subscribed by any Indian citizen of age 18 to 40 years. Upon enrollment, the scheme provides a minimum guaranteed pension of Rs 1000 to Rs 5000 on attaining 60 years of age. Also, when the pensioner dies, it amounts to guaranteed pension for lifetime to the spouse. In case of death of the both the subscriber and spouse, a nominee shall claim the amount.

About the scheme

The scheme was replaced with Swavalamban Yojana. It was established to provide old age income security to the unorganized sector. It was launched by PM Modi in 2015 at Kolkata.

The scheme is implemented by PFRDA (Pension Fund Regulatory and Development Authority) operating under Ministry of Finance.