Pension boost: Cabinet extends Atal Pension Yojana till FY31; funding support to continue for outreach & gap needs

The Union Cabinet on Wednesday approved the continuation of the Atal Pension Yojana (APY) up to FY 2030-31, along with an extension of government funding support for promotional, developmental and gap-funding activities, according to an official statement issued by the government.The decision, cleared by the Cabinet aims to strengthen old-age income security for unorganised sector workers and deepen financial inclusion across the country, the statement said.As per the approval, the government will continue to provide support for awareness campaigns, capacity-building initiatives and other developmental activities to expand APY’s reach among unorganised and low-income workers. In addition, gap funding will be extended to meet viability requirements and ensure the long-term sustainability of the pension scheme.The Centre said the move will help ensure a steady income stream in old age for millions of workers outside the formal sector, while also supporting India’s broader goal of building a pensioned society as part of the Viksit Bharat @2047 vision.The Atal Pension Yojana was launched on May 9, 2015, with the objective of providing assured pension benefits to workers in the unorganised sector. Under the scheme, subscribers are entitled to a guaranteed minimum pension ranging from Rs 1,000 to Rs 5,000 per month after attaining the age of 60, depending on their contribution and the age at which they join the scheme.According to government data, APY has emerged as a key pillar of India’s social security framework. As of January 19, 2026, more than 8.66 crore subscribers have enrolled under the scheme.The government noted that continued policy and financial support is necessary to sustain enrolment momentum, improve awareness among eligible workers and bridge viability gaps. The extension of the scheme and associated funding till FY31 is expected to provide greater certainty, enhance outreach in the unorganised sector and reinforce long-term pension coverage for vulnerable sections of the workforce.