UPSC Articles
Rashtriya Mahila Kosh (RMK) to be discontinued
Part of: GS Prelims and GS-II – Policies and interventions
In news The Government has decided to close down RMK as it has lost its relevance and utility in the present scenario with substantial alternative credit facilities becoming available to women through various governmental initiatives and efforts such as Jan Dhan Yojana, PM Mudra Yojana etc and also to avoid duplicacy of efforts.
- The Government had set up Rashtriya Mahila Kosh (RMK) in 1993 as a national level autonomous body for socio-economic empowerment of women, especially those in the rural and unorganized sector, by providing them concessional, collateral free micro-credit.
- The operating model followed by RMK has been of extending loans to Intermediary Micro-Finance Organizations (IMOs) which further on lend for entrepreneurial activities of women.
- However, the Government decided to close down RMK as it has lost its relevance and utility in the present scenario with substantial alternative credit facilities becoming available to women through various governmental initiatives and efforts such as Jan Dhan Yojana, PM Mudra Yojana etc and also to avoid duplicacy of efforts.
News Source: PIB
