PMJDY Assessment Round 2: Well Begun is Job Half Done

In August 2014, the Prime Minister of India launched the ambitious plan called Pradhan Mantri Jan Dhan Yojana (PMJDY), which aims to ensure at least one active bank account per family. MicroSave and the Bill & Melinda Gates Foundation designed a survey to track the progress of PMJDY, with a focus on the presence and performance on Bank Mitrs (BMs). 

MicroSave India Focus Note #125 reports on the results of the second round of evaluation, finding that the situation with regards to availability of BMs on the ground has improved. However it is unclear how long they will remain active in the absence of attractive remuneration and support from banks and business correspondent network managers.

The report makes recommendations for addressing this concern, including:

1. Development of a standard training module for BMs;
2. Ensuring monitoring and capacity-building support from banks and business correspondent network managers;
3. Ensuring minimum commission of Rs. 5,000/month;
4. Roll-out of additional products through BM network.