NDTV journalist Sreenivasan Jain dissects Jan Dhan Yojana using Half-Empty understanding

Pradhan Mantri Jan Dhan Yojana, launched by Narendra Modi on 28 August 2014, was under multiple radars since the day it was announced. The vision, as stated by Modi, was to end “financial untouchability” and to ensure that the majority of households in this country has a bank account within months. As mentioned on the official website:

Objective of “Pradhan Mantri Jan-Dhan Yojana (PMJDY)” is ensuring access to various financial services like availability of basic savings bank account, access to need based credit, remittances facility, insurance and pension to the excluded sections i.e. weaker sections & low income groups. This deep penetration at affordable cost is possible only with effective use of technology.

The ambitious plan aimed to include crores of those Indians who don’t have a bank account has already faced numerous appreciations and criticism – rational, funny, absurd and weird ones.

Sreenivasan Jain (journalist, NDTV) wrote a hilarious piece headlined, “Truth vs Hype: Jan Dhan’s Half-Empty Promise“. Not surprisingly, when he was questioned about his narratives, he started putting orthogonal arguments about Haryana, Reserve Bank old stats, etc. His article which generalizes a national policy by applying some sampling method like “Akkad Bakkad Bambe Bo” weaves around rumors and myths. Yes, the journalist from a national TV created a story based on ‘potent’ rumors (as he writes) like, “We were told each of us would get Rs. 5,000 in our accounts from black money seized from abroad”

- Advertisement - - Article resumes -

Before scrolling down his article, let us read the Pradhan Mantri Jan Dhan Yojana scheme from the official website:

Special Benefits under PMJDY Scheme

  1. Interest on deposit.
  2. Accidental insurance cover of Rs.1.00 lac
  3. No minimum balance required.
  4. Life insurance cover of Rs.30,000/-
  5. Easy Transfer of money across India
  6. Beneficiaries of Government Schemes will get Direct Benefit Transfer in these accounts.
  7. After satisfactory operation of the account for 6 months, an overdraft facility will be permitted
  8. Access to Pension, insurance products.
  9. Accidental Insurance Cover, RuPay Debit Card must be used at least once in 45 days.
  10. Overdraft facility upto Rs.5000/- is available in only one account per household, preferably lady of the household.

Did anyone read Rs. 5,000 in accounts immediately after opening the account? Well, Mr. Jain did. Not only that, Mr. Jain also extended his imaginations and linked this to Black Money. Mr. Jain claims that On the Jan Dhan Yojana website, nearly 70 per cent of accounts opened under the scheme are shown as dormant, and by peacefully neglecting the Clause 7 explicitly mentioned in scheme, quotes that Six months later, the accounts in Nizampur are empty; not a single rupee of government benefits has come. He places both his narratives one below other. Sreenivasan Jain either hates to read legal clauses or he is deeply in love with paradoxes.

When officials in the Department of Financial Services apprised NDTV Team about improvements in dormant accounts, Mr. Jain, who fathomed the Jan Dhan Yojna based on rumors in Alwar and a local bank in Nizampur village, shifted his argument to operational competency of banking systems. Later, he quotes:

Data from the Reserve Bank of India shows that the spread of rural banks has fallen by seven per cent between 2006 in 2013.

We must appreciate Sreenivasan Jain for predicting the fate of a program launched in 2014 based on data between 2006 and 2013. If he can apply Time Series Forecasting to predict complex and changing socio-economic conditions, just using a one-dimensional variable, he must be seen as a role model by mathematicians and economists around the universe.

As per reports, of the new account holders, 41 per cent have deposited more than Rs 14,000 crore. Mr. Jain interviews a former MD of State Bank Of India who says that it is not feasible for banks to profitably run the scheme because the average balance is only Rs. 400  per account which can only give a revenue of Rs. 12 per account to banks, but he fails to recognize that this is the pre-subsidy balance. Jan Dhan Yojna is only the First step of an ambitious project, but like other journalists of NDTV, Sreenivasan Jain has concluded its fate in the initial phase.

It is noteworthy that Sreenivasan Jain expects subsidy money to come into accounts within few months when all due diligence is needed to be done and all accounts are needed to be verified. If money was given in a few months, Mr. Jain would have slammed the government saying that facilities and subsidies are distributed without verifications. The article completely loses its essence when Sreenivasan Jain supports retrospective methods like post office or cash directly, but fails to mention massive corruption and leakages prevalent in these systems (which is precisely why the government went to direct cash transfers)

With the deep-rooted corruption and inefficiencies in our system, Jan Dhan Yojna will certainly face many challenges. While Sreenivasan Jain deliberately declares Jan Dhan as a Half-Empty Promise, he fails to appreciate a massive scheme which can reduce corruption and uplift the many downtrodden people. Indian Banking system may not be currently equipped enough to provide proper financial platforms to all the people, but do we want the conditions to remain the same?

Mr. Jain would certainly love India to be stuck as an obsolete society when countries like US, Russia, Spain and the Netherlands are keen to adopt Jan Dhan Yojna type schemes.

Poet. Engineer. Story Teller. Social Media Observer.
Started Bhak Sala on facebook

Share and Support:
Support OpIndia by paying for content

Most read articles recently

Activist opposing Akshaya Patra’s mid-day meal contract thinks ‘Brahmins obstruct India’s development’

The Akshaya Patra has come under criticism recently for not including onion and garlic in its mid-day meals for school children.

Mumbai Police teaches a lesson in humility to ‘special’ Sonam Kapoor

Actor Dulquer Salman clarified that he and Sonam were sitting inside a car that was rigged to a truck and hence were not breaking traffic rules.

Uttar Pradesh: Eight cattle smugglers arrested in Bahraich with arms and ammunition

The smugglers even tried to trample the police personnel with their vehicle.

Church of South India Archbishop Dyvasirvadam arrested in church fund scam, reports Times of India

According to the report, archbishop Dyvasirvadam was allegedly involved in misappropriation of church fund for over a decade

Rafale: SC examined the pricing details closely, ‘did not rely’ on CAG report as claimed by Rahul Gandhi

Rahul Gandhi has claimed that the Supreme Court verdict on Rafale was based only on the CAG report, while it is not true

Double whammy for Congress in court: After Rafale verdict, Rakesh Asthana’s appointment as special director gets SC approval

The Supreme Court's verdict is being seen as the second major embarrassment for both the Congress party and Prashant Bhushan, as the Supreme Court had earlier rejected a plea on the issue of a probe concerning the Rafale deal.

Congress friendly journalist wishes death upon BJP Delhi spokesperson Tajinder Bagga

During the run-up to Gujarat assembly elections last year, Trivedi was caught spreading morphed images with Amit Shah's fake quotes on Patidars

Pro-Congress troll resumes fake news website, makes outlandish claims on Rafale targeting Modi

Abhishek Mishra has been associated with the website which spreads fake news and Islamist propaganda

Rafale: They wanted to pull Modi down to their level

The Congress and its ecosystem is strong and well oiled.
Modi government vindicated, SC says Rafale Deal clean

SC verdict on Rafale deal: Read scathing comments made by Court while dismissing petitions for inquiry

Supreme Court dismissed petitions for an enquiry into Rafale deal pricing, offset partner selection and procurement procedure. Read scathing observations

Latest articles

Connect with us


Don't miss these