Cabinet extends support for Swavalamban Scheme from three to five years

New Delhi, Apr 12 (ANI): The Union Cabinet today approved the extension of funding support for implementing the Swavalamban Scheme under the New Pension System (NPS) from present three years to five years for all subscribers who were enrolled during 2010-11, 2011-12 and 2012-13.

The exit norms of the scheme have been relaxed to enable subscribers under Swavalamban to exit at the age of 50 years instead of 60 years, or a minimum tenure of 20 years, which ever is later.

The Cabinet has provided an additional funding support of Rs.2065 crore to Swavalamban Scheme upto 2016-17 towards Government's co-contribution to the subscribers of Swavalamban Scheme and also for promotional and developmental activities. This will benefit 70 lakh workers of the unorganised sector till 2016-17.

During the year 2010-12, a total of 3,01,920 subscribers were enrolled whereas during 2011-12 there are 1,93,238 subscribers till March 9, 2012.

The Swavalamban Scheme is a co-contributory pension scheme whereby the Central Government would contribute a sum of Rs.1000 per annum in each NPS account opened having a saving of Rs.1000 to Rs.12000 per annum.

The Swavalamban Scheme is targeted to benefit anganwadi workers, construction workers, occupational classes like weaver, fishermen, farmers and dairy workers. (ANI)