List of Schemes Announced by Pradhan Mantri Narendra Modi on 31st December 2016

Published Date - 23 September 2017 05:39:41 Updated Date - 25 October 2017 05:53:32

 On the eve of 31st December 2016 the Prime Minister came live on television. Everyone expected he would announce some schemes and people were actually terrified because the last time he came live, demonetization happened. Thankfully, by the time he was over people heaved a sigh of relief because he announced some schemes. Some of them were quote well received while others were opposed by the opposition parties.

Most of the announcements made by Narendra Modi were not completely new schemes but amendments in already running schemes. Shri Narendra Modi addressed the nation on NYE for about 45 minutes and makes announcements about cheaper loans under Pradhan Mantri Awas Yojana, saving scheme for old age citizens, scheme for pregnant women and others.

Below is the complete list of schemes/initiatives/amendments announced by Narendra Modi on 31st December.

  • Housing loan: interest rate for the housing loans are to be reduced in accordance with the Prime Minister Awas Yojana announce earlier. For loans up to Rs. 9 lakh, there will be a 4% relief on the interest rates while for those that are getting loans up to Rs. 12 lakh will be given a relief on the interest rates of 3% per annum. This scheme is focused towards the lower income groups and the economically weaker sections. This relief will give them the benefit of getting their own pucca houses at lower prices.Not just this, but the number of houses to be built under the Awas Yojana has also been increased. Earlier 3 crore houses were to be built under this scheme now 4 crore houses will be built as per the announcement.


  • For  the  farmers: the government has elucidated elaborate plans for the farmers. In fact, it seemed like the farmers were the main target of the government for getting benefits. Hence a major portion of the announcements were directed towards them.Since the Rabi season is currently on, those farmers who would take loans from the cooperatives and central banks would receive special benefits. The government would give those 60 days interest relief. This would help them pay less money as interest and gain good prices on their crops.

Also, now Farmers can take more loans from banks as NABARD’s funds are being increased from Rs. 20,000 crore to Rs. 41,000 crore so that even after the farmers take loans in low interest rates, the money flow does not get disrupted in banks. Any loss of NABARD will be covered up by the central government.

  • Another important news for the farmer is that, they will be able to make transactions from anywhere now. Their Kisan Credit Cards will be converted to RuPay cards. With these RuPay cards, they can buy things from the shops. Also they can withdraw their money from the ATMs. The RuPay cards will also help the farmers to carry out digital transactions. This way the farmers will be able to sell their crops with a single swipe.
  • For  small  businesses: For small businesses too, the rules have been relaxed quite a bit. It can be noticed that this government wants to push the small businesses. Hence they have been given quite a relief in this new scheme list announcement.For starters, the income taxes for them have been reduced. If the small business enterprises and traders use digital modes of payments then their interest rates will be reduced to 6 per cent instead of 8 per cent. This is one step towards pushing the country to accept digital modes of payment.

Although minute, the change in the credit guarantee schemes is also noteworthy. According to this scheme, the credit guarantee for the small entrepreneurs will now be Rs. 2 crores – earlier it was Rs. 1 crore. Also, loans that are taken from Non Banking Financial Institutions will also be considered under this scheme.

  • For  pregnant  women: Women are the pillar of this country. In his speech on 31st December 2016, the Prime minister said the very same words and after saying so he declared a scheme for pregnant women.India is slowly moving towards health consciousness. Therefore the government is also putting in place strategies and schemes that protect the health of the citizens. In doing so, it has started with the scheme to cover the pregnant women. The pregnant women will be getting nutritious meals, delivery and vaccination under this scheme. The women who are about to hit the maternity ward will be covered under this new national scheme, whose launch notice was given in the aforesaid date.

6000 will be awarded to each pregnant woman. Such an amount will be directly transferred to their bank accounts. Hence, it is recommended for all pregnant women to have a bank account, if they don’t already have it.

  • For  senior  citizens: The senior citizens need to be covered under these schemes too. Hence, they were given 8% interest rates on their deposits up to Rs. 7.5 lakh. They are also permitted to withdraw their interests every month from their accounts.

   This was the first time the Prime Minister made a speech after demonetization. More details on         each of his scheme announcements will be revealed in due course of time.


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