NPS Subscribers Exceed 7.47 Crores, AUM Reaches 12.14 Lakh Crore

The National Pension System (NPS) was introduced for all Central Government employees (excluding armed forces) joining the workforce on or after January 1, 2004. Many State/UT Governments have also adopted NPS for their new employees. Since May 1, 2009, NPS has been open to all Indian citizens on a voluntary basis, including those in the corporate sector. The Atal Pension Yojana (APY) was launched on June 1, 2015, for the unorganized sector workers. As of 1st June 2024, the total subscribers of NPS and APY exceed 7.47 crores, with total Assets Under Management (AUM) reaching 12.14 lakh crore. The number of subscribers in the private sector, including corporates, exceeds 56 lakhs, with an AUM crossing 2.27 lakh crore.
To raise awareness about NPS among corporates, the Pension Fund Regulatory and Development Authority (PFRDA) conducted "Round Table Meeting" on 7th June, 2024, in Mumbai, with the Chief Human Resource Officers (CHROs) and Chief Finance Officers (CFOs) from 30 reputed corporates based out of Mumbai in association with the knowledge partner Deloitte India. The primary objective of these meetings was to engage with corporates and encourage them to adopt NPS or enhance its penetration by educating them about retirement planning, corporate NPS benefits, including tax incentives for employers and employees, and financial wellness. This initiative aims to extend the benefits of the National Pension System in the formal private sector, aligning with the government's broader objective of establishing a pensioned society by 2047.
Currently, 16,402 corporates have enrolled under NPS, collectively accounting for 20.17 lakh subscribers nationwide. In Maharashtra alone, 5,296 corporates are registered, contributing to a total of 3.02 lakh subscribers. Among these, 3,456 corporates are Mumbai based, with a combined subscriber count of 0.71 lakh. The total subscriber base under NPS in Maharashtra including Individual and Corporate is 9.10 lacs, which is around 16 % of total subscribers in the private sector.
The keynote speaker for the event was Mr. Deepak Mohanty, Chairman of PFRDA. He emphasized the urgent issues associated with an aging society and increasing life expectancy, stressing the critical need for adequate pension coverage. Mr. Mohanty further highlighted that relying solely on one social security scheme is insufficient for building a robust retirement corpus. He elaborated on the efficiency, transparency, and returns offered by the National Pension System (NPS). He urged corporates to consider adopting NPS to provide a platform for employees to join NPS and further, also to educate and nudge them to increase the uptake rate of NPS in corporate. 
Mr Zubin Shekhary, CFO, Deloitte India, addressed the audience and stressed the importance of retirement planning, encouraging attendees to learn about the benefits of NPS. Other notable speakers included Mr. Sumit Kumar, Chief General Manager at PFRDA, who presented on topics such as Retirement Benefits Planning and the features and advantages of NPS. Ms. Bahroze Kamdin, Partner at Deloitte India, explained the tax benefits under NPS for both employers and employees. Mr. Amit Prakash, Head of Corporate Employee Welfare at Tata Consultancy Services Limited, shared insights from a corporate perspective regarding the extension of NPS benefits to employees and its implementation. 
The session also featured an interactive segment with corporate representatives to discuss the challenges faced in adopting and implementing NPS.
Overall status of NPS and APY_01-06-2024 (1).pdf