The government is all set to extend the Pradhan Mantri Jan-Dhan Yojana, possibly doubling the overdraft amount under the scheme and using it to give loans to promote entrepreneurship. Launched in 2014 by Prime Minister Narendra Modi, the second phase of the financial inclusion scheme that seeks to provide a bank account to everyone ends in August.
An announcement regarding PMJDY’s extension is expected in this year’s budget, a senior government official said. “The government is going to build upon this scheme and bundle other financial products to the financially excluded,” he said, adding that there could also be an increase in the overdraft amount. Finance minister Arun Jaitley will announce the budget on February 1.