Pension Fund Regulatory and Development Authority (PFRDA), the apex body established by the government of India to regulate and develop the pension sector, has launched a new offering under the National Pension System (NPS), entitled NPS-Lite, to promote saving among the economically disadvantaged population. The NPS-Lite model is designed to facilitate small investments from the poor via low administrative and transactional costs. The program will rely on other government operated schemes, nongovernmental organizations (NGOs) and microfinance institutions (MFIs) to target and service low-income workers. Each of these organizations, or ‘aggregators,’ will be responsible for grassroot-level enrolments, ongoing collection, transfer of individual contributions and information delivery. The program is voluntary and open to all eligible citizens in the age range of 16 to 60 years. (Eligibility for the program will be determined by the aggregators.) Each subscriber is free to choose the amount he or she wishes to invest.
By Conner Brannen, Research Assistant
About Pension Fund Regulatory and Development Authority (PFRDA):
The Pension Fund Regulatory and Development Authority (PFRDA) was established by the government of India in August 2003 to promote income security for the elderly by establishing and regulating pension funds.
Sources and Additional Resources:
The Economic Times: “PFRDA to launch pension scheme for poor,” July 22, 2010: http://economictimes.indiatimes.com/personal-finance/savings-centre/savings-news/PFRDA-to-launch-pension-scheme-for-poor/articleshow/6201498.cms
Pension Fund Regulatory and Development Authority (PFRDA): http://pfrda.org.in/
Browse the MicroCapital Universe and add your entry to the wiki https://www.microcapital.org/microfinanceuniverse/
Similar Posts:
- MICROCAPITAL BRIEF: KEPFIC Member Pension Funds Invest $61m in Acorn Holdings, Kenya Mortgage Refinance Company (KMRC) to Boost Affordable Housing
- MICROCAPITAL BRIEF: EIB Loans $214m to Sicredi for Solar Panels for Households, SMEs in Brazil
- MICROCAPITAL BRIEF: Women’s World Banking Offering 5-month Leadership Program for Regulators
- MICROCAPITAL BRIEF: African Development Bank (AfDB) Disbursing $1.6m for Green Finance in Benin, Côte d’Ivoire
- MICROFINANCE PAPER WRAP-UP: “Microfinance in India: Issues, Challenges and Opportunities;” by Mohammad Abu Saleh, Zubair Ahmad
