Clipped from: https://www.thehindubusinessline.com/economy/over-23-jan-dhan-accounts-inoperative-finmin-data-show/article69947255.ece
The amount parked in these accounts stands at over ₹2.64 lakh crore
The amount parked in these accounts stands at over ₹2.64 lakh crore. | Photo Credit: GIRI KVS
As the much-celebrated Pradhan Mantri Jan Dhan Yojana (PMJDY) completes 11 years this month, new government data show a worrying trend: more than one in every five Jan Dhan accounts is lying inoperative.
According to data presented by the Finance Ministry in the Lok Sabha on Monday, as of August 6, over 13 crore Jan Dhan accounts — 23 per cent of the total 56.04 crore opened till July 31, 2025 — are inoperative. The amount parked in these accounts stands at over ₹2.64 lakh crore.
This marks a reversal of earlier years. Between 2019-20 and 2023-24, the percentage of inoperative accounts remained below 20 per cent. But in the past two years, the share has consistently breached that mark, now climbing to 23 per cent.
Under Reserve Bank of India norms, a savings account is classified as inoperative/dormant if no transactions are recorded for over two years. While the government has not attributed specific reasons, officials and experts point out that states with lower per capita income — where PMJDY enrolments are highest — may account for much of the dormancy.
In a written response, Minister of State for Finance Pankaj Chaudhary said banks and the government have taken steps to keep accounts active. These include crediting Direct Benefit Transfers (DBT) even to inactive accounts, periodic communication with account holders about dormant status, and special drives such as the Gram Panchayat-level Saturation Campaign (July 1–September 30) where re-KYC of inactive accounts is a focus.
Launched on August 28, 2014, PMJDY was envisioned as a cornerstone of financial inclusion, offering no-minimum balance bank accounts, free RuPay debit cards with accident insurance cover, and overdraft facilities up to ₹10,000. Over the past decade, the government credits the scheme with enabling direct subsidy transfers, boosting digital payments, and extending insurance and savings platforms to the poorest.
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Published on August 18, 2025
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