APY grosses 5.2 cr beneficiaries, more than South Korea’s population!

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The total number of enrolments under Atal Pension Yojana (APY), a universal social security system for those at the bottom of the financial pyramid, has crossed 5.2 crore, a figure that is bigger than the total population of South Korea that has 5.12 crore citizens. The scheme enrolled 1.19 crore new members in 2022-23, pushing the number to a point where APY beneficiaries could have constituted the 28th most populous country on the planet.

The new enrolment in the past financial year recorded a 20% rise compared to the number in 2021-22. As a result of the steady stream of enrolments, the total assets under management of APY has shot past Rs 27,200 crore.

The scheme came into existence on May 9, 2015, and was operationalised on June 1 the same year. Upon attaining the age of 60, those enrolled under APY would be eligible for a fixed monthly pension between Rs 1,000 and Rs 5,000. The amount would depend on their contribution, which, in turn, would depend on their age when they started subscribing to APY.

According to the rules, after the death of the beneficiary the spouse would continue to receive the same amount of monthly pension. After the death of the spouse, the nominee would get the amount of money that accumulated when the beneficiary attained the age of 60.

The target of enrolling new subscribers was fulfilled by a dozen states such as Assam, Andhra Pradesh, Bihar, Chhattisgarh, Madhya Pradesh, Jharkhand, Rajasthan, Tripura, Odhisha, Uttarakhand, Uttar Pradesh and West Bengal. The number of banks that also met their target of enrolling new subscribers is nine.

Any citizen of India who has an active bank account can enroll for the scheme between the age of 18 and 60 years. APY is administered by the Pension Fund Regulatory and Development Authority (PFRDA). To spread awareness about the social security scheme, PFRDA conducts regular programmes in collaboration with regional rural banks and state level bankers committees. The funds managed by APY have so far recorded 8.69% return.