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Modi to launch Stand up India scheme tomorrow

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Prime Minister Narendra Modi will launch the “Stand up India” scheme, aimed at providing credit to Scheduled Caste, Scheduled Tribe, and women borrowers, on Tuesday.

The scheme is intended to promote entrepreneurship among Scheduled Castes, Schedule Tribes and women and will involve loans ranging from Rs. 10 lakh to Rs. 1 crore. “The intent of the proposal is to leverage the institutional credit structure to reach out to these underserved sectors of the population by facilitating bank loans in the non-farm sector set up by such SC, ST and women borrowers,” a release said.

The scheme includes a composite loan of between Rs. 10 lakh and Rs. 100 lakh for setting up any new enterprise. In addition, borrowers will be provided a RuPay debit card to enable the withdrawal of the working capital.

The government will also develop the credit histories of these under-banked sections of society and will open a refinance window through the Small Industries Development Bank of India(SIDBI) with an initial amount of Rs. 10,000 crore.

Creation of corpus

The scheme will also facilitate the creation of a corpus of Rs. 5,000 crore for credit guarantee via the National Credit Guarantee Trustee Company. The launch event on Tuesday will also involve distribution of 5,100 e-rickshaws by Bharatiya Micro Credit under the Pradhan Mantri Mudra Yojana.

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Printable version | May 24, 2019 3:54:21 AM | https://www.thehindu.com/news/national/modi-to-launch-stand-up-india-scheme-tomorrow/article8430358.ece

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