Indian Economy News

Cabinet approves Continuation of Stand-Up India Scheme

The Union Cabinet, chaired by Prime Minister Mr. Narendra Modi, approved the continuation of the Stand-Up India Scheme on November 11, 2026, for five years up to March 31, 2031. The Cabinet also approved a Credit Guarantee Corpus of Rs. 4,111 crore (US$ 434.07 million) for the scheme. The scheme aims to promote entrepreneurship among women, Scheduled Castes (SCs) and Scheduled Tribes (STs), and targets financial assistance to an additional 2.5 lakh entrepreneurs over five years. Since its launch in April 2016, the scheme has facilitated loans to more than 2.75 lakh women, SC and ST entrepreneurs.

Under the scheme, eligible women, SC and ST entrepreneurs setting up new or greenfield enterprises can access loans above Rs. 10 lakh (US$ 10,558.70) and up to Rs. 1 crore (US$ 105,586.98). These can be composite loans covering working capital and term loans, or term loans alone, and can cover up to 85% of the project cost. Eligible sectors include manufacturing, services, trading and agri-allied activities. Credit guarantee coverage of 85% of the loan amount will be provided at a standard guaranteed fee of 0.50%. The scheme is expected to enhance credit access for underserved communities, enabling enterprise creation and strengthening entrepreneurship, thereby supporting inclusive economic growth.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.