The PM CARES Fund has reported its highest-ever financial corpus, reaching an impressive ₹8,452.07 crore by the end of the financial year 2024-25. This significant increase from the opening balance of ₹7,173.03 crore at the start of the year highlights the fund's growing financial strength as an emergency reserve.
Strategic Shift to Fixed Deposits
A key development in the fund's management is a notable shift towards investing its assets primarily in fixed deposits. Audited statements reveal that ₹6,641 crore, approximately 92.8 percent of the total corpus, is now parked in fixed deposits, while ₹605.41 crore remains in savings bank accounts. This strategic reallocation aims to maximize returns from the fund's existing balance.
The move has proven beneficial, with interest earned from fixed deposits amounting to ₹469.38 crore during the year. In contrast, savings accounts generated ₹5.77 crore in interest. The fund also received an additional ₹13.49 lakh as a refund of TDS on interest from fixed deposits.
Sources of Contributions and Expenditures
During the 2024-25 financial year, the PM CARES Fund received substantial contributions:
- Domestic Donations: ₹479.04 crore
- Foreign Donations: ₹92.83 lakh
- Refunds from Implementing Agencies: ₹324.66 crore
Despite its growing corpus, the fund continues to actively support its core initiatives. Expenditure remains focused on the PM CARES for Children scheme, which provides crucial assistance to children who tragically lost parents or legal guardians during the COVID-19 pandemic.
Fund's Origins and Purpose
The PM CARES Fund was established on March 27, 2020, as a public charitable trust during the initial phase of the COVID-19 pandemic. Prime Minister Narendra Modi launched the initiative with an appeal to citizens for voluntary contributions to support relief and emergency efforts. In its inaugural financial year, the fund quickly amassed ₹3,075.85 crore in voluntary contributions and ₹39.68 crore in foreign contributions, closing that year with a total of ₹3,076.63 crore.
With its substantial and strategically invested corpus, the PM CARES Fund continues to serve as a vital financial reserve, ensuring readiness for future emergencies while optimizing returns on its unused capital.