The Narendra Modi government has increased the age limit, doubled accident insurance and indefinitely extended Atal Pension Yojana (APY) after yesterday’s (5 September) cabinet meeting, Financial Express has reported. The scheme was launched in 2015 with an aim to provide a pension of Rs 1,000 to Rs 5,000 upon retirement for those who subscribe to the scheme. The scheme was supposed to end this year, but the government extended it considering the public response and success of the scheme.
“The scheme, which was earlier for four years, lapsed in August 2018. But seeing the mass participation in this runaway-success scheme, the cabinet has decided to extend it and keep it open-ended,” he said.
Finance Minister Arun Jaitley informed the media that the age limit was being increased after taking into account the rise in life expectancy.
“Earlier, people of age 18 to 60 years were entitled to enrol in the scheme. But looking at the rise in average age-expectancy, now we have relaxed it further to 65 years,” he said.
Jaitley added that those who enrol for the scheme after 28 August would have an accident insurance cover of Rs 2 lakh, twice the previous limit of Rs 1 lakh. The overdraft facility of the scheme has also been doubled from Rs 5,000 to Rs 10,000.
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