Jharkhand Rajya Gramin Bank Marching towards Financial Inclusion through Pradhan Mantari Jan Dhan Yojna

Abstract

Financial inclusion is pivotal for India's equitable development, significantly advanced by the Pradhan Mantri Jan Dhan Yojana (PMJDY). Regional Rural Banks (RRBs) are instrumental in this outreach, particularly in underserved rural areas. This study critically evaluates the performance of Jharkhand Rajya Gramin Bank (JRGB), Jharkhand's sole RRB, in promoting financial inclusion through PMJDY from its inception in 2019-20 to 2023-24. Utilizing a descriptive approach based on secondary data from JRGB annual reports, SLBC documents, and government publications, the research analyzes JRGB's account opening trends, rural-urban distribution, zero-balance account status, and RuPay card issuance under PMJDY. Findings reveal JRGB's substantial contribution, marked by a significant increase in PMJDY accounts (exceeding 3.18 million by 2023-24) with a strong rural focus, aligning with its mandate. A declining trend in the percentage of zero-balance accounts indicates enhanced account activity. While RuPay card issuance also increased, a notable gap persists compared to the total number of accounts. The study concludes that JRGB has commendably fulfilled its role in PMJDY implementation, acting as a key driver for financial inclusion in Jharkhand, though enhancing RuPay card penetration presents an area for further improvement to maximize the scheme's benefits.