Govt Extends Stand-Up India Scheme Until 2031, Clears Rs 4,111-Crore Credit Guarantee Corpus

(MENAFN- KNN India) New Delhi, Nov 12 (KNN) The Union Cabinet has approved the continuation of the Stand-Up India scheme for five years until March 31, 2031, with a target of supporting 2.5 lakh additional entrepreneurs from women, Scheduled Castes (SCs) and Scheduled Tribes (STs).

The Cabinet, chaired by Prime Minister Modi, also approved a Rs 4,111-crore credit guarantee corpus to support lending under the scheme.

Launched in April 2016, the scheme has facilitated loans to more than 2.75 lakh women, SC and ST entrepreneurs, according to the government.

Loan Support for Greenfield Enterprises

Under the scheme, eligible women and SC/ST entrepreneurs can access loans ranging from above Rs 10 lakh to Rs 1 crore to establish greenfield enterprises.

Loans can be structured as composite facilities covering working capital and term loan requirements, or as term loans, and can finance up to 85 per cent of project costs.

The scheme covers manufacturing, services, trading and agriculture-allied activities. Credit guarantee coverage is set at 85 per cent of the loan amount, with a standard guarantee fee of 0.50 per cent.

The extension aims to improve institutional credit access for entrepreneurs from underserved communities and support enterprise creation and inclusive economic growth.

(KNN Bureau)

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