Highlights
- The banks include HDFC, ICICI, Axis and Kotak Mahindra banks among others
- The banks have also offered loans to the exiting Agniveers
- The first batch of Agniveers will be joining Training Centres by January 2023
The Indian Army on Saturday signed up with at least 11 banks to provide banking facilities to the Agniveers on enrolment. These banks include HDFC, ICICI, Axis and Kotak Mahindra banks.
The Ministry of Defence in a statement said that a ceremony that was presided by Adjutant General of the Indian Army Lt Gen C Bansi Ponappa saw the signing of MoUs by Lt Gen V Sreehari, DG (MP & PS) and senior officials of the banks.
In a bid to enhance entrepreneurial skills, the banks have also offered loans to the exiting Agniveers. The benefits of the Agniveer Salary Package are similar to the Defence Salary Package.
The first batch of Agniveers under the 'Agnipath Scheme' will be joining Training Centres by January 2023, the Ministry of Defence said in a statement.
Banks like State Bank of India, Punjab National Bank, Bank of Baroda, IDBI Bank, ICICI Bank, HDFC Bank, Axis Bank, Yes Bank, Kotak Mahindra Bank, IDFC First Bank and Bandhan Bank have signed an agreement with the Indian Army.
This is a major defence policy reform introduced by the Government to usher in a new era in the human resource policy of the Army, Air Force and Navy. The policy, which comes into immediate effect, will hereafter govern the recruitment of personnel below officer rank (PBOR) in the three services, according to the Ministry of Defence.
What is the Agnipath Scheme?
The Agnipath scheme allows patriotic and motivated youth to serve in the Armed Forces for a period of four years. Soldiers who are recruited under this scheme will be known as Agniveers.
The Agnipath Scheme has been designed to enable a youthful profile of the Armed Forces and provide a fresh lease of 'Josh' and 'Jazba' whilst at the same time bringing about a transformational shift towards a more tech-savvy Armed Forces - which is indeed the need of the hour, the defence ministry highlighted.
It is envisaged that the average age profile of the Indian Armed forces would come down by about 4-5 years with the implementation of this scheme. Agniveers will receive Rs 33,000 in the second year, Rs 36,500 in the third year and Rs 40,000 in the fourth year. They will get Rs 11.71 lakh as Seva Nidhi Package after four years.
The 'Seva Nidhi' will be exempt from Income Tax. There shall be no entitlement to gratuity and pensionary benefits. Agniveers will be provided non-contributory Life Insurance Cover of Rs 48 lakh for the duration of their engagement period in the Indian Armed Forces.
During this period of service to the nation, the Agniveers will be imparted with various military skills and experience, discipline, physical fitness, leadership qualities, courage and patriotism.
(With inputs from ANI)
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