You are on page 1of 13

Introduction

Financial Inclusion has been buzzword of the policy makers and government
globally and is being perused deliberately world over. Financial inclusion is defined
as providing basic financial services to all sections of the society. It focused on all
strata of society including those who has been left out and have not been able to reap
the benefits of financial services in economic growth. Attempt have been made by
the policy makers and government to implement financial inclusion through
financial institutions to bring large sections of the rural population with the banking
system having realised that financial inclusion is the essence of sustainable
economic growth and development in a country. Through own countries economy
is growing at a one digit. Still the growth is not inclusive with the economic
condition of the people in rural area worsening further. Through there are few people
who are enjoying all kinds of services from saving to net banking, but still in our
country around 40% of people lack access to even basic financial services like
saving, credit cards and insurance policy
Introduction of financial inclusion came in to existence in India in year
2005 when its importance was under stood and measures were taken by means
relaxation given to banking sector to come with best strategies to involve people in
banking sectors by providing banking facilities at very low cost. Subsequently
"swabhiman" a financial inclusion plan was launched in year 2012 which was
focused on opening of "no frills " account however only 20 percent of the bank
account opened under this plan were found the to operational later moreover out of
target of nearly six lakh villages having more than 2000 population only 74000 were
covered.
Latest initiative by the government concerning financial inclusion is the scheme
announced by Prime Minister Pradhan mantri jan dhan yojana aimed at targeting
individual unbanked household in both urban and rural India. This scheme is based
on sab ka Saath sab ka Vikas, inclusive growth. Itihaas far reaching impact for that
social exclusion which is very much detrimental for the equitable growth of the
country. That is why there is an urgent need to implement effectively Pradhan mantri
jan-dhan yojana by virtue of financial inclusion as all other development activities
are hindered by this single disability this is an important step towards converting
Indian economy into cashless and digital economy.
Periya is a rural village situated in wayanad district major population of
periya village is engaged in agricultural activities. The major problem faced by
villager’s lack of infrastructure facilities like educational institutions and absence of
nationalised Bank.
Most people in periya village are unbanked and are illustrated about
government policies so the study about Pradhana mantri jan-dhan yojana in periya
village is relevant and it will help in the village and Bank authorities to realise the
requirement of banking facilities that is adequate in periya village.

Operational definition
Financial inclusion may be defined as the process of ensuring access to
financial services and timely and adequate credit where needed by vulnerable groups
such as weaker sections and low income groups at an affordable cost.

Significance of the problem


Pradhanmantri jandhan yojana is aimed at financial inclusion of the
economically weaker section of the society. Most importantly aims to cover people
from the rural areas as well as the unorganised sector of the urban and semi urban
areas and accidental insurance cover for new rupay card holders will be raised from
rupees 100000 rupees 200000 to new Pradhan mantri Jan dhan yojana account
opened after August 28and government suit that sofa around 32.4 1 core Jan dhan
account have been opened with more than rupees 81200 crore of deposit balance
because the saving habit of people is increased. Pradhanmantri Jan dhan yojana life
insurance cover-up rupees 30000 it could certainly be off solace for the poor class.
Individual who received various benefits under various government schemes like
LPD subsidies and other can now receive the amount directly. Overdraft facility will
provide access to capital when in need of emergency so the scheme Pradhan mantri
jan-dhan yojana is very helpful to rural people.

Scope of the study


Periya is a rural village where majority population are illiterate and unbanked.
lack of infrastructural facilities are the problem of pair village and about 60% of the
population RN case in agricultural activities were they do not have bank accounts
and saving habits. They depend upon the seasonal revenue and during out of season
they are not able to meet the most basic needs.but if the year adopting Pradhan mantri
jan-dhan yojana they are able to meet their basic needs and they will be capable to
meet unexpected needs and accidents.

Objectives of the study


1. To know the impact of Pradhan mantri Jan dhan yojana in periya village.
2. The level of awareness about Pradhan mantri Jandhan yojana in periya
village.
3. To study the need for financial inclusion in village.
4. Evaluate the economic empowerment of periya village by Pradhan mantri
Jan dhan yojana.

Period of the study


Project comes from the period of 2 months from 29 November 2019 to 20
January 2020.

Methodology
The studies in the nature of descriptive research which makes utilise both
primary data and secondary data.

Source of data
The research will be conducted by using primary and secondary data.
Primary data
The primary data will be collected through structured questionnaire specially
designed for the study.

Secondary data
Secondary data collected from magazines,journals, reports, records and
websites.

Sampling design

Sampling technique
Stratified random sampling technique will be used as the sampling
technique for the study.

Sample size
In this survey 50 samples will be collected from periya village.

Area of the study


The study will be conducted mainly at periya village.

Tools for data collection


Structured questionnaire is used for the collection of primary data.

Tools for data analysis


The main statistical tool presented is percentage tables and charts.
Scheme of the study

Limitations of the study

1. Sample size is the major limiting factor .so, an in-depth study was not possible.
2. Respondents are reluctant to reveal information.
3. The conclusion and inference are drawn on the basis of data received from the
interviews .therefore some of the replies of respondents may be biased.
Review of literature

1. Garima Jain, Neeraj (2017)


Pradhan Mantri Jan Dhan Yojana (PMJDY) is Narendra Modi Government flagship
programme launched to bring every section of the society within the ambit of
financial services such as availability of basic savings bank account, access to need-
based credit, remittance facility, insurance, and pension to the otherwise excluded
sections, i.e., weaker sections and low-income groups. In the truest sense, PMJDY
is a poverty eradication program and therefore the poor should nobe the biggest
beneficiary of the scheme.
2. Hiren R Raval
Financial Inclusion is now innovative concept yet not new to researchers, policy
makers and academicians. Financial Inclusion simply means to create financial
system at ease for poor people of economy. Financial system excluded certain
segments of people in early stage of economic development. However, government
attempted to reach this segment by framing different policies but seemed to be
fruitless exercise due to lack of effective execution of policies. As a part of Financial
Inclusion, government of India introduced “Pradhanmantri Jan Dhan Yojna”. The
research has made attempt to study “Pradhanmantri Jan Dhan Yojna” with reference
to its salient features, achievements and future in Indian economy.

3. Parmod Kumar Singhal (2016)


The main purpose of this research paper is to know about the awareness and impact
of the Pradhan Mantri Jan-Dhan Yojana (PMJDY) on poor people of India. The
study aims to define the reasons for opening the bank account under this scheme.
The paper selected for an exploratory study using the close-ended and multi-choice
answer questionnaire. The 100 people interview to fulfil the questionnaires. F-test is
used to know about the impact of PMJDY on poor people of India. The paper
provides insights about the impact of PMJDY on the poor people. The study also
finds that there are so many reasons for opening bank account under this scheme
like, zero-balance account, ATM and so on. The research is conducted on a small
area of India and the sample also was needed.
4. Partha Sarathi Senapati
Pradhan Mantri Jan-DhanYojana (PMJDY) is a National Mission for Financial
Inclusion to ensure access to financial services, namely, Banking/Savings & Deposit
Accounts, Remittance, Credit, Insurance, and Pension in an affordable manner.
Since the launch of this scheme in 2014, it has created a milestone in bringing
millions to the banking services. It is a crucial scheme of Government to achieve
financial inclusion of the mass and making a progress towards inclusive growth. This
paper tries to study the scheme in details and its progress across the country as well
as in the state of Odisha.

5. Ayushi Raichoudhury
Education has been considered as an important tool for all sorts of issues. This paper
intends to study the relationship between educational level, PMJDY awareness and
financial inclusion in the district of Puri, Odisha. Data were collected with the help
of a survey technique from 348 respondents in both rural and urban areas of Puri
district. Multistage purposive sampling method was used. Descriptive statistics of
the data collected reveals that financial awareness/financial inclusion increases with
education level. It is seen that respondents with primary education and below
secondary education have more financial inclusion and PMJDY awareness due to
the reason that most of the respondents belong to that category. It is also evident that
households with graduation and above are also more likely to be financially aware
and financially included. However, to have a complete understanding

6. Satish Kumar, Sachin Chauhan (2015)


For Policymakers Financial inclusion is a buzzword the policymakers and
governments for a long time. Attempts have been made by the policymakers and
financial institutions to bring a large no of sections from the rural population to be a
part of the banking system having realized that financial inclusion is the essence for
sustainable economic growth & in order to develop a country like India. Inclusive
growth becomes impossible without financial inclusion. Financial inclusion is also
must for the economic development of the country. In order to reduce the degree of
“financial untouchability” the new government has come up with a big bang action
plan which is popularly known as “Pradhan Mantri Jan-Dhan Yojana”. It’s mega
financial inclusion plan for the objective to cover all the households in the country
with various banking facilities along with inbuilt insurance coverage. The present
paper is an attempt to highlight the impacts of total saving deposits with commercial
banks on Indian GDP in Context with Pradhan Mantri Jan Dhan Yojna. The study is
purely based on secondary data which covers 40 financial years

7. Varun Saini1& Yashika Guleria


Since independence, India’s policy measures have basically followed two fold
objectives for its planned economic growth and development. The first one is
moving ahead to a transformative and technologically advanced economy and the
second one being established in a pattern of social order based on the principle of
distributive justice and providing equal opportunities for growth to the masses. No
doubt, economic reforms implemented over the past few decades have remained
successful in enhancing India’s potential on many developmental forefronts but, still
it has not succeeded in alleviating the poverty. Poverty can be eradicated from its
roots only when the poor starts contributing in the growth process through its
productive involvement. Pradhan Mantri Jan Dhan Yojana (PMJDY) is an
innovative and efficacious measure of financial inclusion, which is designed to
eliminate the problem of “Financial Untouchability” by ensuring distributive justice
to the poor and vulnerable sections of the society.

8. Ganesan Ravichandran, S Vanitha


The Indian government has launched many Financial Services schemes and policies
to reduce the degree of Financial Inclusion, black money and to develop the
economic growth of the country. The prime minister of India ‘ShriNarandraModi’
has recently introduced the most valuable investment scheme namely, PMJDY
(PradhanMantri Jan DhanYojana). The study has been analysed with primary data
collected to know the awareness about the PMJDY in Trichirappalli district. The
study found out that the socio economic factors were assisting to create the
awareness of PMJDY scheme. It is suggested that the government need not only
create accounts but also to develop the awareness to use this facility effectively in
order to avoid them from becoming inactive.
9. Payal Saini
This financial inclusion campaign was launched by the Prime Minister on 28 August
2014 He had announced this scheme on his first Independence Day It is a nationwide
scheme on Financial speech on 15 August 2014. Inclusion to provide all households
in the country with financial services, with particular focus to empower the weaker
sections of society including women, small and marginal farmers and labourers, both
rural and urban. PradhanMantri Jan-DhanYojana (PMJDY), Prime Minister's People
Money Scheme is India's National Mission for Financial Inclusion to ensure access
to financial services, namely Banking Savings & Deposit Accounts, Remittance,
Credit, Insurance, and Pension in an affordable manner. There is strong association
between development programmes and socio economic condition. Socio-economic
condition refers to an individual’s level of income, wealth, prestige.

10. R Magesh Kumar, C Samuel Joseph

Financial inclusion is the buzzword for the Government of India for attempting
towards inclusive growth." Pradhan Mantri Jan-Dhan Yojana (PMJDY)" is the
national mission of Government of India for achieving the goal for financial
inclusion. This national project has a determined goal of ensuring all the households
in the country should have a bank account and access to all the financial services
provided by the banks. This is an empirical study that attempts to capture the
perception of customers on PMJDY towards operationalization of bank account. The
result obtained on multiple regression analysis from the various constructs on
operationalization of PMJDY account indicate that advertisement, economic
development are most important predictor of the dependent variable whereas bank
employee behaviour and customer satisfaction have less impact on the
operationalization of PMJDY account. The outcome of this research throws some
insight to understand the bank customer’s perception towards operationalization of
PMJDY account which will be supportive to management practitioners, bank
authorities and policy makers to design appropriate marketing strategies.
11. SS Chowhan, JC Pande
It is indeed a matter of serious concern that despite tremendous growth of banking
sector in India—both horizontally and vertically, a large section of Indian population
continues to remain unbanked even after attaining 67 years of our Independence.
Though, in recent years the Indian Government and the Reserve Bank of India have
been pushing the concept of financial inclusion, but no palpable effect could be seen
in the plight of these financially vulnerable people.

12. SW Unnamalai (2015)


Since independence numbers of initiatives have been taken by our Government for
financial inclusion. Even though the number of initiatives a large portion of our
population still remains unbanked. Majority of our population both in rural and
urban still remains excluded from the banking activities. Till now the objective of
financial inclusion has never been achieved. The Financial inclusion plan aims to
provide easy access of the financial services at affordable cost automatically it brings
them in to the mainstream of financial sector.

13. Varsha Gupta (2015)


The recent scheme, Pradhan Mantri Jan-Dhan Yojana (PMJDY), launched by the
Indian Prime Minister, is a step ahead for strengthening financial inclusion practices
in the country. PMJDY is a national mission for financial inclusion to ensure access
to financial services, namely, banking/savings and deposit accounts, remittance,
credit, insurance, pension, etc. in an affordable manner. This research note examines
the progress in financial inclusion plans over the last five years; analyzes the
progress made by PMJDY from Aug 15, 2014 to Jan 26, 2015; identifies the
contribution of the banks towards achievement of goals set under PMJDY; and
studies the impact of PMJDY towards the achievement of financial inclusion
objectives.

14. Harpreet Kaur, Kawal Nain Singh (2015)


Financial inclusion has been a buzzword for the policymakers and governments for
a long time. Despite tremendous growth of banking sector in India both horizontally
and vertically, a large section of Indian population continues to remain unbanked
even after attaining 67 years of our Independence. To address the issue of financial
exclusion and long drawn financial sufferings, Prime Minister Narendra Modi
announced a new scheme in his Independence Day speech on 15th Aug 2014, and
called it as the National Mission on Financial Inclusion …

15. SATISH Kumar, SACHIN Chauhan


For Policymakers Financial inclusion is a buzzword the policymakers and
governments for a long time. Attempts have been made by the policymakers and
financial institutions to bring a large no of sections from the rural population to be a
part of the banking system having realized that financial inclusion is the essence for
sustainable economic growth & in order to develop a country like India. Inclusive
growth becomes impossible without financial inclusion. Financial inclusion is also
must for the economic development of the country.
Reference

1. Jain, G., & Jain, N. (2017). Impact of Pradhan Mantri Jan Dhan Yojana (PMJDY)
on Socio-Economic Status and Savings Pattern: A Review of Literature. Asian
Journal of Research in Social Sciences and Humanities, 7(6), 217-223.
2. Raval, H. R. (2015). Shaping New India through Financial Inclusion in form of
PMJDY. International Journal of Research in Humanities & Social Sciences, 3(5),
34-38.
3. Singhal, P. K. (2016). Awareness Level about PMJDY: A Study of Kurukshetra
District. IIMS Journal of Management Science, 7(1), 124-133.
4. Kumar, S. A. T. I. S. H., & Chauhan, S. A. C. H. I. N. (2015). Impact of
commercial deposit in banks with GDP in context with Pradhan Mantri Jan Dhan
Yojna. BVIMSR’s J Manage Res, 7(1), 53-59.
5. Senapati, P. S. (2018). A Study of Pradhan Mantri Jan Dhan Yojana (Pmjdy)
Scheme in Odisha and Challenges of Financial Inclusion. IMPACT: International
Journal of Research in Humanities, Arts and Literature (IMPACT: IJRHAL), 6(3).
6. Raichoudhury, A. IMPACT OF EDUCATION ON PMJDY AWARENESS AND
FINANCIAL INCLUSION: A STUDY OF PUR HILL DISTRICT.
7. Ravichandran, G., & Vanitha, S. Impact of Socio Economic Factors on Pradhan
Mantri Jan Dhan Yojana with Reference to Tiruchirappalli District.
CONSUMERISM AND INFORMATION TECHNOLOGY, 65.
8. Guleria, V. S. Y. ASSESSING INCLUSIVE GROWTH THROUGH
FINANCIAL INCLUSION MODEL OF PMJDY.
9. Saini, P. PradhanMantri JanDhan Yojna’so impact on socio-economic
environment.
10. Kumar, R. M., & Joseph, C. S. Customer Satisfaction in Operation of Pradhan
Mantri Jan Dhan Yojana (PMJDY) Account: An Empirical Evidence.
11. Chowhan, S. S., & Pande, J. C. (2014). Pradhan Mantri Jan Dhan Yojana: A
giant leap towards financial inclusion. International Journal of Research in
Management & Business Studies, 1(4), 19-22.
12. Unnamalai, S. W. (2015). Role of Indian bank‟ s in Financial Inclusion Policy
through Pradhan Mantri Jan Dhan Yojana (PMJDY). Sai Om Journal of Commerce
& Management, 2 (12).
13. Gupta, V. (2015). Pradhan Mantri Jan-Dhan Yojana: An Effort towards Financial
Inclusion. IUP Journal of Bank Management, 14(2), 49.
14. Kaur, H., & Singh, K. N. (2015). Pradhan Mantri Jan Dhan Yojana (PMJDY): a
leap towards financial inclusion in India. International Journal of Emerging
Research in Management &Technology, 4(1), 25-29
15. Kumar, S. A. T. I. S. H., & Chauhan, S. A. C. H. I. N. (2015). Impact of
commercial deposit in banks with GDP in context with Pradhan Mantri Jan Dhan
Yojna. BVIMSR’s J Manage Res, 7(1), 53-59.