Budget 2023: Finance Minister's focus will be on digital in the budget, you will get benefit like this

Budget 2023: The budget will focus on regularizing small accounts by making them fully compliant with KYC (Know Your Customer) requirements.

Union Budget 2023: Finance Minister Nirmala Sitharaman will present the Union Budget (Budget 2022) on February 1 for the financial year 2023-24. This will be the last full budget of the second term of the Modi government. Everyone has expectations of some relief from the budget. The government may scale up its flagship financial inclusion plans with a focus on digitization in the upcoming Budget 2023, setting up more Digital Banking Units (DBUs) and Jan Dhan accounts, Jeevan Jyoti and Suraksha Bima among the plans, an official said. The plan includes bringing a digital interface between

According to sources, an official said on the condition of anonymity that the government is also considering expanding the scope of doorstep banking and preparing a new framework for Business Correspondents. The focus will be on regularizing small accounts by fully complying with KYC (Know Your Customer) requirements and then linking insurance and pension schemes with these accounts for the targeted beneficiaries.

According to the official, a unified digital interface (portal) is also required to ensure seamless end-to-end connectivity between various stakeholders, where Indian Banks' Association, Life and General Insurance Council jointly form an institutional mechanism for creation Can. India is keen to showcase its success in digitization and fintech during its presidency of the G20. The government plans to have a more integrated and holistic approach to financial inclusion to build on the success of the Pradhan Mantri Jan Dhan Yojana (PMJDY).

Ecosystem will get stronger

According to a recent report by the Reserve Bank of India, 81.2% of the total 462.5 million PMJDY accounts are active, up from 76% in 2017. Only 8.2% PMJDY accounts have zero balance, about 56% account holders are women, and 67% PMJDY accounts are in rural and semi-urban areas. Separately, a new framework for the functioning of Business Correspondents is being discussed, which will strengthen the ecosystem.

Fintech will become the basis of financial revolution

The focus will be on doorstep banking and setting up of more digital banking units, which will also act as financial literacy centres. In October 2022, at the launch of DBUs, Prime Minister Narendra Modi had said that a country's economy is only as progressive as its banking system and fintech will lead the financial revolution. Dedicating 75 DBUs in several districts of the country, the PM said that if Jan Dhan accounts had laid the foundation for financial inclusion in the country, then fintech would form the basis of financial revolution.