Finance Ministry Framing Incentive Scheme for Bankers to Push 'Jan Dhan': Report

Banks have collected deposits of Rs. 1,496.51 crore under the scheme so far, which works out to Rs. 495 per account.

The new scheme, sources said, is a significant improvement over the UPA's financial inclusion programme.

The earlier scheme had no focus on households and no emphasis was given on urban financial inclusion, according to some experts. Besides, they maintained that there was a cumbersome Know Your Customer formality, restricting account opening.

Other deficiencies cited included lack of credit disbursement and 47 per cent of business correspondents being untraceable, resulting in inactive accounts.

The new scheme, sources said, has tried to address all the possible deficiencies and its monitoring would be done at state and district levels.

The 'mission mode' approach has been envisaged with the Finance Minister as head of the mission.

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