Stand-up India – UPSC Prelims

Ministry/Department :  Ministry of Social Justice & Empowerment
Objective: To promote entrepreneurship among Scheduled Caste/Schedule Tribe and Women.
Scheme:
  • The schemes provides for composite loans by banks between Rs. 10 lakh and upto Rs. 100 lakh for setting up a new enterprise in the manufacturing, services, agri-allied activities, or the trading sector
  • These loans would be eligible for refinance and credit guarantee cover.
  • Debit Card (RuPay) for withdrawal of working capital
  • Handholding of borrowers
  • Eligibility condition for Stand Up India Scheme:
    • SC/ST and/or woman entrepreneurs above 18 years of age.
    • Loans under the scheme are available only for greenfield projects. Greenfield signifies the first time venture of the beneficiary in the manufacturing, services, agri-allied activities or the trading sector.
    • In the case of non-individual enterprises, 51% of the shareholding and controlling stake should be held by either SC/ST and/or Women Entrepreneur.
    • Borrowers should not be in default to any bank/financial institution.
  • Recent Changes:
    • Scheme extended up to 2025.
    • Margin money requirement for loans under the Scheme has been reduced from ‘upto 25%’ to `upto 15%’.
    • Activities allied to agriculture have been included in the Scheme.
Factual Information:
  • Launched in 2016
  • The process would be led by SIDBI with involvement of Dalit Indian Chamber of Commerce and Industry (DICCI) and various sector – specific institutions all over the country.
  • The offices of SIDBI and National Bank for Agriculture and Rural Development (NABARD) shall be designated Stand Up Connect Centres (SUCC).
  • Till now more than 81% of the accounts under the Stand Up India Scheme belong to women entrepreneurs.

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