International Journal of Contemporary Research in Multidisciplinary

The Pradhan Mantri Jan-Dhan Yojana (PMJDY), launched in 2014, is one of the largest financial inclusion initiatives globally, aiming to provide universal access to banking services for all, particularly in rural and economically backward areas. This analytical study explores the implementation and impact of PMJDY on rural development in India, with a special focus on Bihar, one of the most socio-economically challenged states. The scheme's core features—zero-balance bank accounts, RuPay debit cards, insurance coverage, overdraft facility, and direct benefit transfer (DBT)—have played a critical role in integrating rural populations into the formal financial system.

The study assesses how the scheme has affected rural livelihoods, financial behavior, access to welfare schemes, and women’s financial empowerment in Bihar. Using secondary data from government sources, reports, and academic literature, along with comparative analysis, the paper highlights that Bihar has seen significant growth in account openings and DBT penetration. However, challenges such as account dormancy, limited ATM infrastructure, low digital literacy, and inadequate banking accessibility in remote areas remain persistent. The research underlines the importance of financial literacy programs, improved rural banking infrastructure, and enhanced monitoring to ensure that the benefits of PMJDY are fully realized.

This study concludes that while PMJDY has positively influenced rural financial inclusion and social welfare in Bihar, sustained policy support and localized solutions are crucial to overcoming the structural and behavioral challenges hindering its complete success.