Stand-Up India Scheme Extended Till 2031
Key points
The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the continuation of the Stand-Up India Scheme for five more years until 31 March 2031. The government has allocated a credit guarantee corpus of ₹4,111 crore to strengthen financial assistance for women and Scheduled Caste (SC) and Scheduled Tribe (ST) entrepreneurs.
The extended scheme aims to support at least 2.5 lakh additional entrepreneurs over the next five years by improving access to institutional credit and encouraging the establishment of new businesses.
Key Highlights
Scheme Extension: Five years, until 31 March 2031.
Credit Guarantee Corpus: ₹4,111 crore.
Target Beneficiaries: At least 2.5 lakh additional entrepreneurs.
Eligible Groups: Women, Scheduled Castes and Scheduled Tribes.
Loan Amount: Above ₹10 lakh and up to ₹1 crore.
Credit Guarantee Coverage: 85% of the loan amount.
Guarantee Fee: 0.50%.
Eligible Sectors: Manufacturing, services, trading and agriculture-allied activities.
About the Stand-Up India Scheme
The Stand-Up India Scheme was launched on 5 April 2016 to promote entrepreneurship among women and SC/ST communities.
The scheme facilitates bank loans for establishing greenfield enterprises, meaning businesses being set up for the first time by the borrower.
Since its launch, the scheme has facilitated loans to more than 2.75 lakh women and SC/ST entrepreneurs across India.
The initiative promotes financial inclusion, self-employment, business development and employment generation.
Financial Assistance and Eligibility
Particulars | Details |
|---|---|
Scheme Name | Stand-Up India |
Launch Date | 5 April 2016 |
Implementing Department | Department of Financial Services, Ministry of Finance |
Eligible Beneficiaries | Women and SC/ST Entrepreneurs |
Loan Amount | Above ₹10 lakh to ₹1 crore |
Maximum Project Cost Covered | 85% |
Credit Guarantee Coverage | 85% of Loan Amount |
Guarantee Fee | 0.50% |
Extended Until | 31 March 2031 |
Credit Guarantee Corpus | ₹4,111 Crore |
The scheme supports both composite loans, covering working capital and term loans, and standalone term loans, depending on business requirements.
Significance of the Cabinet Decision
The continuation of Stand-Up India will strengthen entrepreneurship among socially and economically underserved communities.
It is expected to improve access to formal banking services, support new enterprises, encourage women's economic participation and create employment opportunities.
The initiative also contributes to India's broader goals of inclusive economic growth, financial empowerment and self-reliance.
