Beneficiaries struggle as banks blame the system
Vikram Sharma
JAMMU: Since assuming office, Prime Minister Narendra Modi has consistently emphasized outreach to the common and economically weaker sections of society, initiating a slew of welfare schemes aimed at uplifting the poor at the grassroots level.
While these schemes are ambitious in scope and intent, their actual reach and effectiveness in several regions remain uncertain.
In many areas, people express unfamiliarity with these initiatives, casting doubt on their real impact. One such scheme is the Atal Pension Yojana (APY), launched with the objective of providing financial security to workers in the unorganized sector.
It aims to offer pension benefits post-retirement to individuals, particularly in rural India, who often lack formal social security coverage. Enrolment is facilitated through banks and post offices.
However, on the ground, the awareness and implementation of APY appear to be lacking. Vidya Devi, a 33-year-old domestic worker, noted that despite having accounts in both a bank and a post office, no official has ever informed her about such a scheme. Her experience reflects a broader disconnect between policy announcements and practical execution.
Bank and post office staff confirm that those who inquire about APY are allowed to enroll. Yet they also admit, anonymously, that many people drop out after paying just a couple of installments. This trend reveals a systemic issue: not just a lack of follow-through from institutions, but a glaring absence of awareness campaigns and grassroots-level engagement.
Kugga Ram, a 56-year-old farmer, explained that although he holds a bank account, his livelihood is largely dependent on agriculture and conducted in cash. As a result, schemes like APY rarely penetrate his economic reality. “We never come to know about such schemes,” he said, underscoring the communication gap.
APY is technically open to all bank account holders. Under its framework, the central government promises to co-contribute 50% of the total contribution or Rs. 1,000 per year, whichever is lower, for five years — but only for those not covered by any other statutory social security scheme and who are not income tax payers.
Even among those who do enroll, there are administrative hurdles. Yogesh Bhardwaj, a 33-year-old entrepreneur, opted for a higher pension slab of Rs. 5,000 per month by paying Rs. 716 monthly. He reported receiving only a counter slip with no formal documentation. Despite repeated follow-ups, the bank continues to delay issuing official documents, citing pending instructions from the central government.
These experiences highlight a pressing need for better awareness, accountability, and outreach to ensure that welfare schemes achieve their intended goals.
