Pradhan Mantri Gareeb Kalyan Yojana-another attack on COVID19


1.7 lakh Crore package of the Government of India to financially protect the most vulnerable during this emergency.

Background:

The Indian Government has announced a Rs 1.7 Lakh Crore package to help tide over the COVID-19 pandemic that has forced the entire nation into an unprecedented lock-down. It will provide free food and cash transfers to support the poorest Indians, the category which is most vulnerable in the ongoing crisis.

By now, it must be clear to every sensible citizen that the lock-down couldn’t have been avoided. The lock-down or quarantine also creates some breathing space to convince people of the seriousness of the situation and build positive public opinion, carry out disinfection of all buildings, vehicles and surfaces, and allows hospitals to prepare themselves for the next phase of operations.

But on the other hand, it has led to a lot of hardships and uncertainty for people who belong to the unorganized sectors and people who work on daily wages. You may try to check out one of my personal experience here
or the Facebook post on my page here:
Here is some news on the situation:

The Government of the day has come up with the Pradhan Mantri Gareeb Kalyan Yojana with a whopping package of Rs1.7 Lakh Crore to provide some relief in this catastrophic situation.

The Scheme: 

The main highlights of the PMGKY scheme are

  • Doubling of the food grain ration for about 80 crore poor people for the next three months, supplemented by a kg of local pulses.
  • Rs.50 lakh medical insurance cover for the next three months for about 22 lakh health workers in government hospitals fighting the spread of the virus at personal risk. It will include ASHA (Accredited Social Health Activist) workers, medical sanitary workers in government hospitals, paramedics and unquestionably nurses and doctors.


Detailed benefits that are entailed in the scheme as follows:

  • Food grains support: Under the scheme, for next three months, each person will get additional 5 kg wheat or rice for free, in addition to 5 kg per month already alloted under PDS. One kg of pulses will be provided per household, which will vary according to regional preferences.
  • Cash transfers, based on direct benefit transfer(DBT): This will be provided to farmers, MGNREGA workers, poor widows, pensioners and disabled people, women with Jan Dhan Yojana accounts, women beneficiaries under Ujjwala scheme, women self-help groups, unorganized sector workers, construction workers, district mineral fund.
  • The first instalment of PM-KISAN for 2020-21, which is Rs.2,000, will be given in April itself. As many as 69 crore farmers are likely to get immediate benefit.
  • The wages of MGNREGA workers has been increased from Rs. 182 to 202 per day. This will benefit 5 crore families, and will result in an additional 2,000 given per worker. Social distancing norms must be followed at MGNREGA worksites during this period.
  • For poor pensioners, widows and disabled, govt will give ex-gratia, one time amount of 1,000 in two instalments over next three months. Expected to benefit 3 crore poor people above 60 years, widows and disabled people.
  • For 20 crore women with Jan Dhan Yojana accounts, an ex-gratia amount of 500 per month for next three months will be given, so they can run the affairs of their households.
  • For poor pensioners, widows and disabled, govt will give ex-gratia, one time amount of 1,000 in two instalments over next three months. Expected to benefit 3 crore poor people above 60 years, widows and disabled people.
  • For 20 crore women with Jan Dhan Yojana accounts, an ex-gratia amount of 500 per month for next three months will be given, so they can run the affairs of their households.
  • For the beneficiaries of Ujjwala scheme who were given free gas (LPG) connections, govt will give free gas cylinders for three months. It will benefit 8.3 crore BPL families.
  • There are 63 lakh Women self help groups which benefit seven crore households. Under the National Rural Livelihood Mission, they get up to 10 lakh collateral free loans. It will now be doubled to 20 lakh, so that they will have money in hand without worry about collateral.
  • For organized sector workersCentre will pay EPF contribution of both employer and employee (total of 24%) for next three months. This is for establishments up to 100 employees, of which 90% earn less than 15,000 per month.
  • The Employees Provident Fund scheme regulations will be amended to allow non-refundable advance of 75% of the amount standing to credit of the member, or 3 months’ worth of wages, whichever is lower. This will benefit 4.8 crore organised sector workers registered with EPFO. This will benefit 80 lakh employees, and incentivize 4 lakh establishments.
  • There is a welfare fund of 31,000 Crore for building and other construction workers, which has 3.5 crore registered workers.
  • Centre will direct State governments to provide assistance and support to the registered construction workers facing economic disruption due to the lock-down.
  • The Finance Minister also said that she will ask State governments to use money available under district mineral funds to use for medical screening, testing and treatment.
  • These announcements come into effect immediately. The authorities have responded immediately, within 36 hours of the lock-down, providing support first to the poorest of the poor.
  • Aware of the impact this will have on banks, as people will need to access their cash transfers, banks and bank branches, ATMs, banking correspondents which are all essential services will continue to work during the lock-down.

Announced within 36 hours of lock-down, the scheme is a very important component of India’s fight against the pandemic that is threatening to bring the entire world down on it’s knees. It will help in taking care of the needs of the migrant workers, disabled, elderly, poor and the daily wagers by taking care of their daily needs and dietary requirements. At the same time it takes care of the front-line fighters in this war, by providing them adequate insurance covers.

Let us pray for the health and prosperity of our nation and all people of the World at large.
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Jai Hind.

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