Jan Dhan at 12: Rural Banking Moves Beyond Account Opening as Transactions, Credit Gain Ground

VMPL
New Delhi [India], August 28: Twelve years after the launch of the Pradhan Mantri Jan Dhan Yojana (PMJDY), rural banking is showing signs of moving beyond basic account opening and cash withdrawals, with growing use of credit and other financial services across Business Correspondent networks.
BLS E-Services, one of the country's large Business Correspondent (BC) players, has facilitated 1,11,000 + Crores Gross Transaction Value (GTV) in FY26 and 130+ Million Transactions in the same period through its network, according to company data. The company has over 46,800+ active Business Correspondents touchpoints (as on June 30, 2026), with a significant part of its network servicing Tier-IV and Tier-V markets.
According to the latest data available with the Department of Financial Services, the number of PMJDY beneficiaries has reached around 58.63 crore. Of these, about 45.62 crore accounts are at rural and semi-urban bank branches, while women account holders' number around 32.68 crore. Deposits in Jan Dhan accounts stood at over ₹3.08 lakh crore, according to data submitted by banks to the PMJDY portal.
The growing penetration of basic bank accounts is now opening up a larger market for other formal financial products, particularly credit, insurance and pension services in rural India, industry players said.
Government data show that 59.14 crore loans amounting to ₹41.71 lakh crore have been sanctioned under the Pradhan Mantri Mudra Yojana. Enrolments under government-backed social security schemes have also risen sharply, with 27.84 crore cumulative enrolments under PMJJBY, 58.78 crore under PMSBY and 9.29 crore under Atal Pension Yojana, according to Ministry of Finance data.
Business Correspondents are emerging as a critical delivery layer in this expansion. Government data released earlier this month showed that India had around 17.36 lakh BCs as of July 17, as banks expand banking access in areas where a conventional branch-led model may not always be viable.
BLS E-Services said its own experience is showing a similar shift in rural customer behaviour, with BC outlets increasingly being used for services beyond withdrawals and deposits.
"The government, through Jan Dhan and other financial inclusion programmes, has created the basic architecture for bringing millions of households into the formal financial system. What we are now seeing on the ground is the next stage of that journey," said Lokanath Panda, Chief Operating Officer, BLS E-Services.
"Customers who initially came into the banking system for a basic account or a government benefit are increasingly looking at credit, insurance, pension and other financial products. The role of the Business Correspondent is therefore also evolving from providing access to enabling greater financial participation," he added.
BLS E-Services has also facilitated loan leads of around ₹36,800 crore across its network in FY 26, indicating growing demand for formal credit across smaller towns and rural markets.
The government has increasingly relied on the combination of bank branches, BCs and digital infrastructure to widen financial access. According to Ministry of Finance data, 99.92% of inhabited villages were covered by a banking outlet, a bank branch, Business Correspondent or India Post Payments Bank centre within a five-km radius as of July 2026.
For BC operators, the shift towards higher usage of banking products could expand the addressable opportunity beyond cash-in and cash-out transactions to credit facilitation, insurance, pension and other assisted financial services as PMJDY enters its thirteenth year.
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