The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved the continuation of the Atal Pension Yojana (APY) till the financial year 2030–31. The decision includes the extension of government funding support for promotional and developmental activities, along with gap funding to ensure the scheme’s long-term sustainability.
The extension is aimed at strengthening old-age income security for millions of workers in the unorganised sector, many of whom lack access to formal pension benefits, according to a government statement.
Guaranteed Monthly Pension
Launched in May 2015, the scheme provides a guaranteed minimum monthly pension ranging from Rs 1,000 to Rs 5,000 from the age of 60, depending on the subscriber’s contribution. It is targeted at low-income individuals in the unorganised workforce, with the objective of promoting financial inclusion and encouraging retirement planning.
As of January 19, more than 86.6 million subscribers have been enrolled under the scheme, making it a key pillar of India’s inclusive social security architecture.
Strategy for Implementation
Under the approved implementation strategy, the government will continue to support promotional and developmental efforts, including awareness campaigns, expansion of outreach and capacity-building initiatives among unorganised workers. In addition, gap funding will be provided to address viability gaps and maintain the financial sustainability of the scheme.
Officials said sustained government support is essential for ongoing enrolment drives and for bridging any financial shortfalls, ensuring the scheme remains viable amid growing participation.
The move is in line with the broader vision of Viksit Bharat @2047, reinforcing India’s transition towards a pensioned society and strengthening social security nets for vulnerable sections, the statement said. The extension is expected to further improve financial inclusion and old-age protection for low-income groups across the country.