Jan Aushadhi Kendras (JAK)
Source: PIB
GS II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation
Overview
- News in Brief
- Jan Aushadhi Kendras
- Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme
Why in the News?
Union Minister for Chemicals & Fertilizers and Health & Family Welfare inaugurated a credit assistance program for Jan Aushadhi Kendras.
News in Brief
- In this regard, he presided over the exchange of an MoU between Small Industries Development Bank of India (SIDBI) and Pharmaceuticals and Medical Devices Bureau of India (PMBI). .
- He also launched a website for credit assistance to Jan Aushadhi Kendras.
- IDBI informed that the credit assistance program takes advantage of both GST and the Digital Public Infrastructure (DPI) of India to provide unsecure working capital loan for small businesses.
- DPI is currently based on the layers of identity (through Aadhar) and payment (through UPI linked with Aadhar).
- Adding a third layer, a credit layer using the other two layers to make credit flow to crores of small businesses who are not able to secure loans from banks and then get exploited by moneylenders.
- It has now been decided to increase its geographical reach by increasing the number of Jan Aushadhi Kendras to 25,000 in next 2 years.
Details of Credit Assistance Program
- SIDBI will offer the project loan for a credit limit up to Rs. 2 lakhs at a very competitive and affordable interest rate, which will work as a working capital and with an easy recovery process.
- The entire ecosystem will be working on a digital mode while ensuring ease of doing business.
- SIDBI proposes to use the GST-Sahay technology platform while disbursing funds to these micro and small enterprises through the 2 MoU and it will be a big boost for the entire scheme.
Jan Aushadhi Kendras
- They operate under the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme
- Jan Aushadhi Kendras (JAKs) is a government initiative launched to provide affordable and quality medicines to the public.
- Covering the entire nation with around 11,000 Jan Aushadhi Kendras.
- While individuals have been saving regularly on the cost of medicines it has significantly lowered the out-of-pocket expenditure for all such families.
- These Jan Aushadhi Kendras which are run by private entrepreneurs and with the support of the Government in the form of incentives have been able to provide around 2000 types of medicines and 300 types of surgical devices.
- It is estimated that around 10 to 12 lakh people visit Jan Aushadhi Kendras every day and save their money while buying requisite medicines.
- Indian citizens have saved more than Rs. 28,000 crores over the last 10 years period while buying medicines from Jan Aushadhi Kendras.
Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme
The Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme is a significant initiative launched by the Government of India with the aim of providing quality generic medicines at affordable prices to the masses, especially the economically weaker sections of society. The scheme was launched on July 1, 2015, by the Department of Pharmaceuticals under the Ministry of Chemicals and Fertilizers.
Key Facts
- Objective: The primary objective of the PMBJP scheme is to promote the use of generic medicines over branded ones, thus reducing out-of-pocket expenses on healthcare.
- Affordability: Under this scheme, generic medicines are made available at significantly lower prices compared to their branded counterparts. The savings to consumers can be substantial, often up to 80% or more.
- Wide Reach: PMBJP operates through a network of Jan Aushadhi Kendras (JAKs) spread across the country. These kinds are dedicated to dispensing generic medicines, making them accessible to people even in remote areas.
- Quality Assurance: The medicines available at Jan Aushadhi Kendras are sourced from WHO-GMP-compliant manufacturers, ensuring that they meet quality standards and are safe for consumption.
- Range of Medicines: The scheme covers a wide range of medicines, including both over-the-counter (OTC) and prescription drugs, catering to various healthcare needs of the population.
Small Industries Development Bank of India (SIDBI)
- Small Industries Development Bank Of India (SIDBI) Set Up On 2nd April 1990.
- SIDBI is headquartered in Lucknow.
- Small Industries Development Bank of India (SIDBI) set up on 2nd April 1990 under an Act of Indian Parliament, acts as the Principal Financial Institution for Promotion, Financing and Development of the Micro, Small and Medium Enterprise (MSME) sector as well as for co-ordination of functions of institutions engaged in similar activities.
- Mission: To Facilitate And Strengthen Credit Flow To MSMEs And Address Both Financial And Developmental Gaps In The MSME Eco-system.
- It is under the jurisdiction of the Ministry of Finance.
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