PM Kisan Man Dhan Yojana (PMKMDY)
Why in News?
Prime Minister, Narendra Modi launches the Kisan Man Dhan Yojana (KMDY) for the farmers in Ranchi, Jharkhand.
About the Scheme
- The scheme will provide a pension of Rs 3000/month to farmers, once they attain the age of 60 years.
- The farmers in the age-group of 18-40 years will have to make a monthly contribution ranging between Rs 55 – Rs 200/- depending on the age of entry, in the pension fund until they attain 60 years of age.
- The Government will also make an equal contribution of the same amount in the fund.
- The spouse will also be eligible to get a separate pension of Rs 3000/per month upon making separate contribution to the fund. In case of death of the farmer before 60 years, the spouse may continue the scheme by paying the remaining contribution.
- The Life Insurance corporation of India (LIC) shall be the Pension Fund Manager and responsible for the pension pay out.
- The scheme is voluntary and contributory to the farmers, the farmers may voluntarily to exit the scheme after at least 5 years of regular contribution.
Significance of the Scheme
The scheme is primed to at least 10 crore labourers and workers in the unorganized sector who will be able to avail the benefits of the scheme within next 5 years. It is dubbed to be one of the largest pension schemes of the world.