Madan Sabnavis, Chief Economist, Bank of Baroda, said pension penetration has not increased mainly due to lack of awareness. Individuals often open accounts as part of company rules, but when it comes to children, their knowledge is limited, he said. “Also, the culture of saving children to create a corpus is not so common. And sometimes parents may not like having multiple accounts in the same family; they could have gone for diversification into bank deposits or small savings, the economist said.
