JAK - GST Sahay

JAK- “JanAushadhi Kendra” was launched by the Department of Pharmaceuticals, Ministry of chemicals & Fertilizers, Government of India in November, 2008. This scheme’s objective is to make quality generic medicines at affordable prices and it is implemented by Pharmaceuticals & Medical Devices Bureau of India (PMBI). JAK has been a government organization which has been instrumental in developing and growth of various initiatives, especially for establishing an entire chain of generic medicine stores network.

Its aim is to

  • Ensure that all must have access to quality medicines for all especially the poor and deprived ones.

  • Create awareness regarding generic medicines through publicity and education to counter the perception that quality is compatible with high price only.

  • Generate employment by engaging individual entrepreneurs in opening of JAK.

Credit / Finance is one of the most important catalyst for any business. Jan Aushadhi Kendra (JAK) which is one of the ambitious project of Government of India, monitored and developed under PMBI, has already crossed over 8800+ stores across India. These are majorly MSME of India and are the backbones of Indian Economy. Working Capital Limit / Term Loan, Invoice based financing and/or purchase order based financing are various facilities which JAK stores may require to continue their business in efficient manner. The fund limits shall enable to take them take their businesses aggressively ahead and enable more order placements with PMBI and otherwise.

We would again hereby take this opportunity to submit the various benefits for implementation of the proposed lending ecosystem and digital payment system. To enlist some key aspect, we mention the same as below:

  • Thousands of JAK stores and associated vendors shall be benefited from such JAK implementation.

  • This can be one of the landmark projects for implementation of credit facility across the ministries.

  • Higher credit and financial flow shall enable more business and lesser liquidity crunch.

  • Digitalizing the entire lending ecosystem in the Health department for the first time, under the guidance and monitoring of PMBI.

  • Real time credit appraisal and dynamic limit changes in accordance to lender’s respective credit products.

  • One stop analysis, including dashboards and MIS reports, which shall enable PMBI to take key future decisions for betterment of entire Jan Aushadhi Kendras.

The proposed digital lending interface, shall contain the following salient features:

  • Multiple 3rd party Integrations which shall enable real time, consent based data flow from various authentic sources.

  • Multiple Lenders/ Bankers to be on-boarded which ultimately shall enable multiple options for retail stores and select the best option from them.

  • End-to-end digital sanction.

  • Online / Digital Document execution and stamping.

  • The platform shall contain best in industry standard security and robust infrastructure to accommodate growing retail outlets in the ecosystem.

Hence to summarize, there are numerous financial, social and economic benefits to all the stakeholders / participants of the proposed ecosystem.

Similarly, India has progressed hugely on digital payment aspect and each and every department/ ministry has well adopted digital payment systems. The implementation of the proposed payment system by Ethics shall reap a lot of benefits to JAK, and to enlist some as below:

  • Real time digital payment.

  • Integration of JAK store’s bank account with UPI based payment system.

  • Facilitating end user for various payment modes apart from cash.

  • Encouragement for usage of digital currency.

  • All the related benefits which a payment provider may be offering from time to time.

One-point shop for synchronization of all payment with JAK’s existing CRM/ERP and ultimately easing the reconciliation of payments received by JAK.

JAK- GST Sahay Ecosystem is an entire digital initiative developed under the visionary project of Bankers/Lenders (Bank which is pioneer in MSME development and a nodal point for Govt. of India to roll out various schemes benefitting MSMEs of India) and the Sahay platform / technology has been developed by India’s Largest Fintech in Lending Segment.