Atal Pension Yojana (APY), a flagship social security scheme of the Government of India, has achieved a new milestone with gross enrolments under the scheme having crossed 7 crore.
This milestone was achieved with an enrolment of enrolment of over 56 lakh in the current Financial Year, i.e., FY 24-25, PFRDA said on Tuesday. As of September 28, 2024, APY had AUM of ₹41,120 crore, official data showed.
APY was launched on May 9, 2015 with an aim to create a universal social security system for all Indians, especially the poor, the underprivileged and the workers in the unorganised sector.
This feat of bringing in the most vulnerable sections of society under the coverage of pension has been made possible with the untiring efforts of all the Banks and SLBCs/UTLBCs, the PFRDA added.
Awareness of scheme
PFRDA, in the recent past, has taken several initiatives for awareness creation of the scheme i.e., conducting APY Outreach Programs at State and District levels, organising awareness and training programs, publicity through various media channels, releasing a one-pager simple APY flyer/handout in Hindi, English, and 21 regional languages, and regular performance review.
APY has been designed in such a way that it provides ‘Sampurna Suraksha Kavach’ to not only the subscriber by providing a life-long defined and guaranteed pension amount, but also to the spouse by providing the same pension amount after the demise of the subscriber and then to the family.
The entire corpus (accumulated till the age of 60 years) is returned to the nominee after the death of the subscriber and spouse.
APY’s design focuses on ensuring a guaranteed minimum pension to subscribers upon reaching the age of 60, based on their contributions during their working years. This feature has made APY particularly attractive to individuals in the unorganized sector, who often lack access to formal pension plans. By offering a reliable and predictable source of income in old age, APY has provided a sense of financial security to millions of people.
The fiscal year 2023-24 saw a substantial surge in enrolments, with over 1.22 crore new subscribers joining the scheme. This significant growth can be attributed to the concerted efforts of various banks and financial institutions, which have played a pivotal role in raising awareness about the benefits of APY and facilitating its implementation.
Their collective efforts have ensured that the scheme reaches the remotest corners of the country, making it accessible to the underserved and marginalised sections of society, sources said.