Kyasan Vikas Patra Case Study

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What is Kisan Vikas Patra?
Kisan Vikas Patra (KVP) is a saving certificate scheme that was launched in 1988 by India Post. It is a small saving scheme that focuses on doubling the money of investors in a period of 112 months or 9 years and 4 months.

Withdrawal and Re-Introduction
The scheme was quite successful in the earlier years but was closed after the intervention of the Indian Government in 2011. The closure happened after the Government of India set up a committee to determine the efficiency of this scheme under the supervision of Shyamala Gopinath. The findings of the committee stated that the scheme could be used to accumulate black money through money laundering.

However, Kisan Vikas Patra was relaunched later in 2014, with certain reforms that addressed the loopholes in the earlier version. It is expected to be beneficial for investors as it is a government-backed investment option that offers definite and safe returns.
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For instance, investors who want to invest more than Rs. 50,000 have to provide a PAN Card proof. Investors also have to provide an income source proof if their investments exceed the limit of Rs. 10 lakh. The main objective of this scheme is to secure the financial interests of people residing in semi-urban and rural areas since people in such areas easily fall for financial scams and related frauds.

Eligibility Criteria for Kisan Vikas Patra
Investing in Kisan Vikas Patra is fast and easy. The eligibility criteria for investing in this scheme are as follows:
• The applicant has to be an adult resident of India
• An applicant may invest on behalf of a minor
• Trusts are eligible to invest in Kisan Vikas Patra
• Hindu Undivided Families (HUFs) and Non-Resident Indian (NRIs) cannot invest in Kisan Vikas

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