JAM Trinity Potential

The JAM trinity stands for Jan-Dhan Yojana, Aadhaar, Mobile number trio as the identification modes to transfer various benefits to the lower sections of the society. The JAM trinity helps the government to avoid leakages and intermediaries in supplies as the Aadhaar helps to directly identify biometrically the under privileged citizen coupled with the Jan Dhan bank accounts and mobile numbers carries the funds to its deserved beneficiary. To facilitate the JAM various measures have been adopted like opening of bank accounts around 196 million along with the issuing of 167 million Rupay cards. By the end of the year 2015 nearly a billion citizens possess the Aadhaar card. Thus the Aadhaar card literally becomes the mettle for  the Direct Benefit Transfer system. The JAM trinity however would increase the prices for goods for the average consumer as the prices would not be subsidised. Despite this increase in prices, it would eventually lower the burden on the tax payer as leakages would be plugged for the government. This would in turn reduce the fiscal deficit for our country and thereby improve India’s credit rating.