Zero balance accounts under PMJDY dropped down to 20 per cent from 77 per cent in 3 years

Union Finance Minister Arun Jaitley pointed out that most perceive Centre's Pradhan Mantri Jan-Dhan Yojaa (PMJDY) as a "usual"government scheme which is implemented "half-heartedly".

He made the announcement while discussing the three-year progress of the scheme at the Conclave on Financial Inclusion organised by the United Nations in New Delhi on Wednesday.

"When we launched the Pradhan Mantri Jan-Dhan Yojana three years ago, we were not sure of the extent of its impact. It was only taken up on a mission mode, as India had not fully registered the potential impact of financial inclusion. I, too, wasn't sure of the impact of it. It came at a time when banking was just a prerogative of a small section of society, with almost 42 percent of India being excluded from it," the minister said.

According to Jaitley, 30 crore new accounts were opened under this scheme, a huge portion dedicated to women and other backwardsections.

He also added that the zero balance accounts under the scheme have dropped down to 20 per cent from 77 per cent in just 3 years.

He mentioned that it is only after the 2014 launch of PMJDY that the condition of financial inclusion improved.

"Almost 42% of Indian households before the scheme was launched were not under the banking system,"he said.

He further added, that because of this scheme, India has now established the reputation of a fully grown society with bank accounts.

Jaitley declared demonetization to be a success, claiming that the move was able to integrate non-formal sectors of the economy with the formal ones.

He also mentioned that the digital transactions broadened during the remonetization period.

Watch the full address here: