Congress has criticized the Modi government, calling the scheme poorly designed and ineffective. According to Congress general secretary Jairam Ramesh, the APY is more about making headlines than providing actual benefits to the people.
Ramesh's criticism came after a media report revealed that a significant number of APY subscribers withdrew from the scheme because their accounts were opened without their explicit permission. This suggests that officials may have resorted to coercive tactics to meet their enrollment targets.
Ramesh pointed out that nearly 83% of APY subscribers receive the lowest pension slab of Rs. 1,000 per month. This is because the monthly contribution for this slab is minimal, making it less noticeable to beneficiaries. Additionally, the fixed income nature of the pension means that its value decreases over time due to inflation, making it less attractive to subscribers.
Overall, Ramesh described the APY as a poorly-designed scheme that relies on coercion rather than genuine participation. He criticized the Modi government's approach to policy-making, accusing it of prioritizing headline management over actual benefits for the people.
The Atal Pension Yojana aims to provide a guaranteed minimum pension ranging from Rs. 1,000 to Rs. 5,000 per month to subscribers aged 60 years, depending on their contributions. However, the effectiveness of the scheme has been called into question due to issues with enrollment and the adequacy of pension amounts.
