Union Government of India on 4 July 2013 announced to launch Mahatma Gandhi Pravasi Surakhsa Yojna (MGPSY), a pension scheme for blue-collar Indian workers in the Gulf. The Yojna would be launched in August 2013. The Pension and Life Insurance fund scheme, is applicable for the Overseas Indian workers having Emigration Check Required, ECR passports.
The announcement was made by the Rajiv Mehrishi, Secretary of Ministry of Overseas Indian Affairs in Riyadh. This pension and life insurance fund scheme would benefit a large number of oversees Indian Workers. The MGPSY is aimed towards helping the overseas Indian workers in saving money for their retirement, re-settlement in India after their return and a life insurance that will cover them against natural death during the period of coverage.
Benefits of Mahatma Gandhi Pravasi Surakhsa Yojna (MGPSY)
• Government contribution of 1000 rupees per annum in line with Swavalamban platform for all MGPSY subscriber who save between 1,000 rupees and 12000 rupees per year in NPS-Lite.
• An additional government contribution of 1000 rupees per annum by MOIA for the overseas Indian women workers who save between 1000 rupees to 12000 rupees per year in NPS-Lite.
• The Indian overseas workers, who save 4000 rupees or more per annum, will get an additional government contribution from the Ministry of Overseas Indian Affairs of 900 rupees towards their Return and Resettlement
The objective of MGPSY is to encourage and enable the overseas Indian workers by giving government contribution to:
• Save for their Return and Resettlement (R&R)
• Save for their old age
• Obtain a Life Insurance cover against natural death during the period of coverage
The government contribution available under the MGPSY is for a period of five years or till the return of subscribed worker back to India, whichever is earlier.