The Indian government has introduced several schemes aimed at empowering women entrepreneurs and providing them with the financial, technical, and skill-based support they need to start and grow their businesses. Here are some of the most prominent government schemes for women entrepreneurs in India:

1. Mahila Udyam Nidhi Scheme

Objective: Launched by SIDBI (Small Industries Development Bank of India), this scheme aims to support women entrepreneurs by offering soft loans to set up small-scale businesses.

Benefits: Provides financial assistance up to ₹10 lakh to support women in starting new ventures or expanding existing businesses.

Repayment: The loan repayment period extends to 10 years with a moratorium period of up to five years.

Focus Areas: Primarily targets sectors such as beauty salons, tailoring, handicrafts, small-scale manufacturing, and service-oriented industries.

2. Mudra Yojana for Women

Objective: Under the Pradhan Mantri Mudra Yojana, this scheme focuses on women’s self-employment.

Categories: Loans are divided into three categories:

Shishu: For small start-ups with loans up to ₹50,000.

Kishor: For businesses that need funding between ₹50,000 to ₹5 lakh.

Tarun: For established businesses needing loans up to ₹10 lakh.

Features: These loans are collateral-free, and the scheme is especially useful for small businesses in rural and semi-urban areas, supporting enterprises like tailoring, beauty parlors, home-based bakeries, and more.

3. Annapurna Scheme

Objective: Designed to support women entrepreneurs who are interested in establishing food-related businesses, especially catering.

Loan Amount: Offers loans of up to ₹50,000 for setting up small food catering units or businesses.

Repayment Period: The loan has a repayment period of up to 36 months with a one-month grace period.

Usage: Funds can be used for purchasing kitchen equipment and setting up a business infrastructure.

4. Stand-Up India Scheme

Objective: To encourage entrepreneurship among women, SC, and ST communities by providing financial assistance for establishing new businesses.

Loan Amount: Provides loans between ₹10 lakh and ₹1 crore.

Eligibility: Applicable to women entrepreneurs who wish to start manufacturing, service, or trading businesses.

Features: Loans can be used for greenfield projects, i.e., for setting up new businesses in manufacturing, services, or trading sectors.

5. Dena Shakti Scheme

Objective: Dena Bank (now merged with Bank of Baroda) introduced this scheme to encourage women entrepreneurs by providing financial assistance at concessional interest rates.

Sectors Covered: Agriculture, manufacturing, retail, and small enterprises.

Loan Amount: Provides loans up to ₹20 lakhs for working capital requirements in the manufacturing and services sectors and up to ₹50,000 for the retail trade sector.

Interest Concessions: Offers a special concession of 0.25% on interest rates for eligible loans.

6. Udyogini Scheme

Objective: This scheme by Punjab and Sind Bank aims to provide financial assistance to underprivileged women to encourage entrepreneurship.

Eligibility: Women between 18 and 45 years old, with an annual family income limit of ₹1.5 lakhs for rural areas.

Loan Limit: Provides loans up to ₹3 lakhs, especially for businesses in the agriculture, retail, and small trade sectors.

Features: Offers a subsidy for women from special categories, such as SC/ST or disabled applicants.

7. Bharatiya Mahila Bank Business Loan

Objective: To support women entrepreneurs, this scheme by the Bharatiya Mahila Bank (now merged with SBI) provides business loans at attractive interest rates.

Loan Amount: Loans are offered up to ₹20 crore for businesses in the manufacturing sector.

Features: Offers competitive interest rates and flexible repayment options for women entrepreneurs, especially in industries such as retail, trade, and small manufacturing units.

8. Mahila Coir Yojana

Objective: Aimed at women entrepreneurs in the coir industry, this scheme by the Coir Board of India encourages women to establish coir manufacturing units.

Training and Equipment: Provides training on spinning coir yarn and access to modernized ratts (spinning equipment) and other machinery.

Financial Assistance: Offers financial support for purchasing equipment, and grants are available to help women set up coir production units.

9. TREAD (Trade Related Entrepreneurship Assistance and Development) Scheme for Women

Objective: Managed by the Ministry of Micro, Small, and Medium Enterprises (MSME), this scheme provides financial assistance and training to underprivileged women entrepreneurs.

Financial Assistance: Government grants up to 30% of the total project cost, with the remaining cost covered through bank loans.

Additional Support: Offers skill development and counseling sessions through NGOs, which assist women in building the skills necessary to run their businesses.

10. Entrepreneurship Development Programs (EDP) by NSIC

Objective: The National Small Industries Corporation (NSIC) offers various EDPs to support women interested in launching small enterprises.

Training and Development: Provides entrepreneurial skill development, including business operations, market research, and financial management.

Features: Women receive hands-on training and support to start their own businesses, particularly in the MSME sector.

11. NABARD’s Schemes for Women

Objective: The National Bank for Agriculture and Rural Development (NABARD) offers several schemes to support rural women entrepreneurs.

Self-Help Group (SHG) Bank Linkage Program: Encourages women in rural areas to form SHGs, which can then apply for loans and funding for small businesses.

Features: NABARD provides training, infrastructure support, and financial assistance for women engaged in agriculture, cottage industries, handicrafts, and other small-scale businesses.

Conclusion

These government schemes provide a significant boost to women entrepreneurs in India by offering financial support, low-interest loans, training, and other resources. By leveraging these schemes, women can overcome many barriers to starting and growing businesses, helping to foster inclusive economic growth. Women entrepreneurs are encouraged to explore these opportunities and select the schemes that best align with their business goals and needs, contributing to India’s economic development and self-reliance.

Also read: Top 11 Government Schemes for Entrepreneurs in India: Funding, Benefits, and Opportunities