The National Scheduled Castes Finance and Development Corporation (NSFDC) Term Loan Scheme provided financial assistance to Shri Santosh Kumar, a 36-year-old resident of Gosainganj Block in Lucknow district, Uttar Pradesh, enabling his transition from seasonal agricultural labor to self-employment. Kumar received ₹3 lakh under the scheme, which he used to purchase an auto-rickshaw and start his own transportation business, effectively utilizing his existing driving skills.
Prior to receiving the loan, Kumar and his family depended entirely on seasonal agricultural work with an annual income of only ₹70,000 to ₹80,000, which made meeting daily household expenses challenging. After establishing his auto-rickshaw business, his annual family income increased significantly to approximately ₹2.25 lakh, representing nearly a three-fold improvement in earnings. This financial assistance reduced his dependence on seasonal employment and created a sustainable source of regular income, strengthening his family's financial position and contributing to an improved standard of living.
The case study, released by the Ministry of Social Justice & Empowerment, highlights how the NSFDC Term Loan Scheme supports income-generating activities and promotes economic self-reliance among eligible beneficiaries. The scheme specifically aims to empower individuals from scheduled castes to overcome financial constraints and build more secure futures through self-employment ventures.