Left Menu
Development News Edition

AUM under NPS, Atal Pension Yojana nears Rs 5 lakh crore: PFRDA

Still about 83 per cent of the total assets are from the central and state government employees," Bandyopadhyay said at the 22nd CII Insurance and Pensions Summit. The total number of National Pension System (NPS) and Atal Pension Yojana (APY) subscribers is over 3.68 crore, as per the latest data.

PTI | New Delhi | Updated: 18-09-2020 17:17 IST | Created: 18-09-2020 16:47 IST
AUM under NPS, Atal Pension Yojana nears Rs 5 lakh crore: PFRDA
Representative image

The total assets under management of the National Pension System and the Atal Pension Yojana are approaching towards a corpus of Rs 5 lakh crore, Pension Fund Regulatory and Development Authority (PFRDA) chairman Supratim Bandyopadhyay said on Friday. "Out total assets under management (AUM) as of September 12 is very close to Rs 5 lakh crore, it is Rs 4.93 lakh crore. Still, about 83 percent of the total assets are from the central and state government employees," Bandyopadhyay said at the 22nd CII Insurance and Pensions Summit.

The total number of National Pension System (NPS) and Atal Pension Yojana (APY) subscribers is over 3.68 crore, as per the latest data. Of them, 21.25 lakh subscribers are central government employees with the contribution of Rs 1.61 lakh crore to the AUM, while 48.74 lakh state government employees furnish more than Rs 2.48 lakh crore to the total corpus.

Besides, 10.40 lakh subscribers are from the corporate sector with AUM of Rs 50,696 crore. Under the all citizen model, 13.45 lakh customers contribute Rs 16,218.81 crore to AUM; while under the NPS Lite category, there are as many as 43.19 lakh subscribers with AUM of Rs 4,077 crore. The corpus under the APY, which is mainly targeted to the employees in the unorganized sector, was Rs 12,883.73 crore as on September 12, 2020.

"APY currently has pension provision of only between Rs 1,000 and Rs 5,000 per month at the age of 60 years. And most of the customers who are under APY are looking for Rs 1,000 pension per month that's why the corpus is of only Rs 12,880 crore. It has not gone up much," Bandyopadhyay said. The PFRDA chairman further said there has been good growth in new subscribers of the APY even during the lockdown period.

About 2 ‎million new subscribers were added during the April-August period of this fiscal, and another over 4 lakh during these 15-16 days in September, taking the number of new additions to over 2.4 million so far, he claimed. In India, less than 50 percent of the working population has formal pension provision, so this is the target group which the PFRDA is also looking at and the APY has been doing quite well, the official said.

On the NPS, he said it is a very flexible market-linked pension product. It may seem to be a single product but actually it is a bouquet of products under the garb of one product, he added.

"It is tax-efficient, there are exclusive tax benefits which are not given to any other product. It is transparent and one can access it online as well as through the mobile app. One can also look at the charges, get account information online, change the fund managers as well as has the option of changing the instruments where to invest the corpus," Bandyopadhyay said. He added the NPS is now gaining pace in the unorganized and corporate sector and this is where the PFRDA is focussing now because the central and state government employees are the captive customers who have to mandatorily subscribe to the scheme since its implementation in January 2004.


TRENDING

OPINION / BLOG / INTERVIEW

New farm bills in India: Focusing on farms or farmers?

... ...

Kenya’s COVID-19 response: Chaos amid lack of information

Confusing numbers and scanty information on how effective curfews and lockdowns have been in breaking transmission have amplified coordination and planning challenges in Kenyas response to COVID-19. Without accurate data, it is impossible t...

Farkhad Akhmedov: Calculating the price of impunity from the law

In insistences such as the battle over the Luna, Akhmedov has resorted to extreme legal machinations to subvert the High Courts decision and keep his assets from being seized. ...

Guinea’s elections hearken back to the autocracy and violence of its past

... ...

Videos

Latest News

Facebook's Oversight Board open but unlikely to play role before U.S. election

Facebook Incs independent Oversight Board, which can overrule company decisions on whether content should be removed and recommend policy changes, started accepting cases for review on Thursday. The board, which was created in response to c...

Pak continues to provide safe havens to terror entities, UN-designated terrorists: India

As global anti-terror watchdog FATF reviews Pakistans performance in curbing terror-financing, India on Thursday said the neighbouring country continues to provide safe havens to terror entities as well as UN-designated terrorists including...

India's current case fatality rate of 1.51 pc one of the lowest in world, says Heath Ministry

With a spike of 55,838 new COVID-19 cases and 702 deaths in the last 24 hours, Indias COVID-19 count crossed 77-lakh mark and reached 77,06,946 on Thursday, according to the Ministry of Health and Family Welfare MoHFW. As per the MoHFW, the...

France halts Engie's U.S. LNG deal amid trade, environment disputes

The French government asked power group Engie to hold off on signing a multi-billion dollar U.S. liquefied natural gas import contract on concerns over the deals environmental implications, a source familiar with the matter said. The interv...

Give Feedback