PFRDA Updates NPS Vatsalya Scheme with Flexible Withdrawal and Exit Options for Minors

The Pension Fund Regulatory and Development Authority (PFRDA) has introduced the NPS Vatsalya scheme, a pension and long-term savings plan for minors under 18, allowing parents or guardians to build a corpus for children. Contributions start at Rs 250 annually and can be made by relatives or friends. Recent updates have enhanced withdrawal and exit flexibility, permitting partial withdrawals after three years for specific needs and offering more exit options, including lump sum withdrawals and transfers to other NPS accounts, while maintaining long-term savings goals.