PMGKY - Pradhan Mantri Garib Kalyan Yojana Last Updated : 11 Jul 2020

Launched by the Government of India, the Pradhan Mantri Garib Kalyan Yojana (PMGKY) scheme allows individuals to deposit money that has not been taxed. Under the scheme, 50% of the untaxed amount must be paid.

PM announces Pradhan Mantri Garib Kalyan Yojana extended till November 2020

On Tuesday, the Prime Minister extended the Pradhan Mantri Garib Kalyan Yojana till November 2020 and under the scheme around 80 crore people will receive 5 kg of wheat or 5 kg of rice every month until November. The Prime Minister addressed the nation and stated that the families will also receive 1 kg of chana every month, and the entire cost of the initiative will be Rs.90,000 crore.

During the speech, PM Modi also stated that the Central Government had announced a package of Rs.1,75 lakh crore and in the last 3 months, Rs.31,000 crore was deposited in the bank accounts of 20 crore families who were below the poverty line. Rs.18,000 crore was deposited in the bank accounts of more than 9 crore farmers as well.

Under PM-GKY, Rs.31,000 crore disbursed to 20 crore Jan Dhan accounts

Under the Pradhan Mantri Garib Kalyan Yojana scheme, approximately 20 crore Jan Dhan accounts have received Rs.31,000 crore as part of the economic support package in response to the Covid-19 pandemic. The PM Garib Kalyan Anna Yojana has also been extended till the end of November, costing the government Rs.90,000 crore. Under this scheme, 80 crore people will receive free ration of 5 kg wheat or rice and 1 kilo of chana. This was announced by Prime Minister Narendra Modi in his address to the nation today.

Key Highlights of Pradhan Mantri Garib Kalyan Yojana

On 26 March 2020, the Finance Minister Nirmala Sitharaman offered an Rs.1.7 lakh crore relief package under the scheme. The main aim of the package is to help organised sectors, farmers, and the poor to battle the economic disruption that has been caused by the coronavirus outbreak. Some of the main highlights of the relief package are mentioned below:

Direct Debit Transfer (DBT)

Cash transfer via DBT will be provided by the government to households, women, women under Jan Dhan Yojana, Divyang, poor pensioners, widows, Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) workers, and farmers.

  • Individuals working on the frontlines, ASHA workers, nurses, and paramedics will receive a medical insurance cover worth Rs.50 lakh. This will benefit around 20 lakh individuals.
  • Rs.500 will be provided per month as an ex-gratia amount to women Jan Dhan Yojana account holders. The amount will be provided for the upcoming three months to help them run the household. This will help about 20 crore women.
  • The welfare fund can be used by state governments to help construction and building labourers. The Rs.31,000 crore that is available in the Direct Mineral Fund can be used to help individuals who are facing financial difficulties due to the lockdown.
  • Amendments will be made to the Employees’ Provident Fund Organisation (EPFO) Scheme so that organised sector workers can withdraw the non-refundable advance. Up to three months’ salary or 75% of the amount available, whichever is lower, can be withdrawn. This move will benefit around 4.8 crore workers who are part of the Employees Provident Fund (EPF) scheme.

For the next three months, the employee’s and the employer’s contribution towards the EPF scheme will be paid by the government. However, this benefit will be provided to organisations that have up to 100 employees (90% of them must earn less than Rs.15,000).

  • LPG cylinders will be provided for free to around 8.3 crore families that come under the below poverty line. Cylinders will be provided for the next three months. However, the families must come under the Ujjwala Scheme.
  • For the upcoming three months, widows, poor senior citizens, and Divyang will be given Rs.1,000. The move will help around 3 crore individuals.
  • An increase in wages will be provided for MNREGA workers. According to the government, this move will help 5 crore families. An increase in wage will lead to an additional income of Rs.2,000 for every worker.
  • Via the PM-KISAN scheme, an up-front amount of Rs.2,000 will be provided to farmers. Under the scheme, farmers receive Rs.6,000 every year. The move will benefit around 8.69 crore farmers.
  • Women Self-Help Groups (SHGs) that come under the National Rural Livelihood Mission (NRLM) will we provided collateral-free loans of up to Rs.20 lakh.


Under the food scheme, Pradhan Mantri Garib Kalyan Anna Yojana, benefits will be provided to about 80 crore individuals. Under the scheme, 5 kilograms (kg) of rice/wheat will be provided for free. For the next three months, 1 kg of pulse (one choice) will be provided for every household.


  1. What cover is provided under the scheme? 
  2. The cover that is provided by the accident insurance scheme is mentioned below: 

    • Accidental death because of COVID-19 duty. 
    • Death due to COVID-19. 
  3. How long is the insurance policy valid for? 
  4. Beginning from 30 March 2020, the insurance policy is valid for 90 days. 

  5. Do individuals need to enroll in the scheme? 
  6. No, individuals do not need to enroll in the scheme. 

  7. In the case of health workers, what is the age limit? 
  8. Under the scheme, there is no age limit. 

  9. Under the scheme, are expenses that have been incurred due to quarantine or treatment covered? 
  10. No, expenses that have been incurred due to quarantine or treatment are not covered under the scheme. 

News About Pradhan Mantri Garib Kalyan Yojana

  • Update from India Govt about Covid-19

    As a measure to help the poor and downtrodden people affected by Covid-19 lockdown, 5 kg of rice or wheat will be provided under the Pradhan Mantri Garib Kalyan Yojana for the next three months.

    This scheme is expected to benefit around 80 crore poor people spread across the country.

  • Around 16% of the EPFO subscribers are likely to be covered under the PM Garib Kalyan scheme

    According to a report, the PM Garib Kalyan scheme may provide cover to around 16% of the 48 million EPFO subscribers.

    According to an announcement made by the Financial Minister, EPF contribution of both employer and employee will be made by the Centre. This was part of the Rs.1.7 lakh crore that was provided under the scheme. However, companies with less than 100 employees, where less than Rs.15,000 is earned by less than 90% of the employees, will be provided this benefit. According to a senior official who provided this report, the EPF contribution will be provided by the Centre in the form of reimbursements. The contributions must be made by the employer over the next three months and proof of the same must be provided. The report further added that only one-third of the 563,000 establishments that come under the EPFO scheme will be covered. The Finance Minister also announced that an individual can also withdraw 75% of their non-refundable advance or 3 months’ salary, whichever is lower.

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