The Kerala government has floated a dividend pension scheme for its diaspora returnees, which is also counted to fetch the much-needed resources for the state’s infrastructure development.
The Kerala government has floated a dividend pension scheme for its diaspora returnees, which is also counted to fetch the much-needed resources for the state’s infrastructure development. About 13.5 lakh NRIs are envisaged to directly benefit from the scheme.
The scheme, floated by the Kerala non-resident Keralites’ Welfare Board, was approved through a state government order on Tuesday.
Through the board, the person working overseas can deposit a specific amount under the scheme.
After three years, this person or her nominee would get a lifetime monthly pension, in tune with his investment, PT Kunjimohammed, chairman of the board, told FE. A non-resident Keralite can invest an amount ranging from Rs 5 lakh to Rs 50 lakh, as a whole or as six instalments paid within three years. Each beneficiary will be entitled to receive pensions ranging from Rs 5,000-50,000 every month, three years after the total amount is deposited, at a dividend rate of 12%.
Apart from sparing the state government the financial burden of the pension plan, the scheme targets to channelise these NRI deposits for developmental projects through the Kerala Infrastructure Investment Fund Board (KIIFB) and other agencies. Kerala has over 20 lakh expats, mostly in West Asian countries. According to Dr S Irudaya Rajan, who conducted a migration survey in early 2018, the rate of emigration from Kerala has been reduced by 11.5% in the past five years, due to factors like nationalisation in Gulf countries.
Rehabilitation of returnees is crucial, says Sheela Thomas, who heads a committee studying the job migration related issues.