The Union Cabinet chaired by Prime Minister Narendra Modi has approved the continuation of the Stand-Up India Scheme for an additional five-year period until March 31, 2031. The scheme specifically targets promotion of entrepreneurship among Women, Scheduled Castes (SCs), and Scheduled Tribes (STs) by providing financial assistance for new/green field enterprises.
Key operational features include eligibility for loans ranging from above ₹10.00 lakh up to ₹1.00 crore (covering up to 85% of project cost), available as either composite loans (working capital and term loan) or term loans alone. The scheme covers enterprises in manufacturing, services, trading, and agri-allied activities. A credit guarantee coverage of 85% of the loan amount is provided with a standard guarantee fee of 0.50%.
The approval includes a credit guarantee corpus of ₹4,111 crore to support the scheme's operations. The government has set a target to cover minimum 2.5 lakh additional beneficiaries over the five-year extension period. Since its initial launch in April 2016, the scheme has already facilitated loans to more than 2.75 lakh Women/SC/ST entrepreneurs.
The scheme aims to enhance credit access for underserved entrepreneur communities, enabling enterprise creation and strengthening entrepreneurship across these demographic segments, thereby supporting inclusive economic growth.