Opening Bank Accounts for all Aadhaar Holders to Promote Financial Inclusion

The Union Finance Minister Shri P. Chidambaram has informed the House that a sum of Rs. 3,370 crore has been transferred to 2.1 crore LPG beneficiaries. The scheme has been put on hold for the time being pending resolution of some difficulties that have been pointed out. He further said that Government remains fully committed to Aadhaar under which 57 crore unique numbers have been issued so far and to opening bank accounts for all Aadhaar holders in order to promote financial inclusion.

The Finance Minister Shri Chidambaram earlier informed the House that under the Direct Benefit Transfer Scheme money is being transferred to beneficiaries under 27 identified schemes, including the National Social Assistance Programme (NSAP). A total of 54,20,114 transactions have been put through until 31.1.2014 and Rs. 628 crore has been transferred.

The Finance Minister also highlighted who need Aadhaar. He said that it is those who are at the bottom of the pyramid, the poor, the migrant workers, the homeless, and the oppressed who need Aadhaar and we will ensure that they get Aadhaar. Aadhaar is a tool of empowerment.

Direct Benefit Transfer via Aadhaar-enabled bank accounts to improve subsidy delivery and financial inclusion for vulnerable groups. The Direct Benefit Transfer mechanism has been used to transfer subsidies to LPG beneficiaries and across 27 identified schemes, with Rs. 3,370 crore transferred to LPG beneficiaries and 54,20,114 transactions (Rs. 628 crore) under the scheme until the stated date; the LPG transfer has been put on hold pending resolution of difficulties. The government emphasises Aadhaar enrollment and bank account linkage to promote financial inclusion, reporting issuance of 57 crore Aadhaar numbers and prioritising vulnerable populations for enrollment and account opening.