Cabinet approves Continuation of Stand-Up India Scheme
PIB National (English) · Published 11 November 2026 · Last updated
The Union Cabinet has approved the continuation of the Stand-Up India Scheme for five years up to March 31, 2031, aiming to assist 2.5 lakh additional entrepreneurs.
Key points
- The Union Cabinet, chaired by Prime Minister Shri Narendra Modi, approved the continuation of the Stand-Up India Scheme on November 11, 2026.
- The scheme has been extended for a period of 5 years up to March 31, 2031.
- The initiative aims to promote entrepreneurship specifically among Women, Scheduled Castes (SCs), and Scheduled Tribes (STs).
- The program targets providing financial assistance to an additional 2.5 lakh entrepreneurs over the five-year span.
- Since its launch in April 2016, the scheme has facilitated loans to more than 2.75 lakh Women, SC, and ST entrepreneurs.
- Eligible borrowers can set up new or greenfield enterprises across manufacturing, services, trading, and agri-allied activities.
- The quantum of support ranges from Rs. 10.00 lakh up to Rs. 1.00 crore, covering up to 85% of the project cost.
- Financing can be structured as either a Composite Loan (combining working capital and term loan) or a standalone Term loan.
- The financing structure includes a credit guarantee coverage of 85% of the loan amount backed by a standard guarantee fee of 0.50%.
Background
- The Stand-Up India Scheme was originally launched in April 2016 to facilitate bank loans to underserved entrepreneurial segments.
- The policy framework was designed to address historical disparities in credit access for marginalized communities by encouraging greenfield enterprise creation.
Prelims facts and Mains angle for this issue are in the full SWAदेSH note.
Original report: PIB National (English)