Government Schemes for Women Entrepreneurs in India

Women entrepreneurs play a vital role in India's economic growth, yet they often face challenges in accessing funding, business resources, and mentorship. To bridge this gap and promote women-led enterprises, the Indian government has introduced several schemes designed to provide financial assistance, skill development, and business support. These initiatives empower women to start, expand, and sustain their businesses across various sectors.

Here’s a comprehensive look at some of the key government schemes for women entrepreneurs in India:

1. Mahila Udyam Nidhi Scheme

Implemented by: Small Industries Development Bank of India (SIDBI)

This scheme supports women entrepreneurs by offering financial assistance for small-scale business ventures. It provides soft loans to help women establish new businesses or expand existing ones.

Key Features:

• Loan amount: Up to ₹10 lakh
• Repayment tenure: Up to 10 years
• Applicable for MSMEs and small business enterprises
• Encourages women in manufacturing, production, and service sectors

2. Mudra Yojana for Women

Implemented by: Micro Units Development and Refinance Agency (MUDRA)

This scheme provides collateral-free loans under the Pradhan Mantri Mudra Yojana (PMMY) to women who wish to start a small business, such as boutiques, tailoring units, beauty parlors, or small manufacturing businesses.

Loan Categories:

• Shishu – Up to ₹50,000 for startups
• Kishor – From ₹50,000 to ₹5 lakh for growing businesses
• Tarun – From ₹5 lakh to ₹10 lakh for business expansion

Benefits:

• No collateral required
• Flexible repayment tenure

Encourages micro-businesses and self-employment

3. Bharatiya Mahila Bank Business Loan

Implemented by: Bharatiya Mahila Bank (now merged with SBI)

This initiative was launched to support women-led startups and small businesses. The small business loan covers various industries, including retail, manufacturing, and small-scale enterprises.

Key Features:

• Loan amount: Up to ₹20 crore (for manufacturing businesses)
• Interest rate: Concessional rates for women entrepreneurs
• No collateral is required for loans up to ₹1 crore (covered under the CGTMSE scheme)

This scheme encourages women to establish businesses in both urban and rural areas.

4. Stand-Up India Scheme

Implemented by: Department of Financial Services (DFS), Government of India

This scheme provides loans to women entrepreneurs from Scheduled Castes (SC) and Scheduled Tribes (ST) who want to start their own businesses in the manufacturing, services, or trading sectors.

Key Features:

• Loan amount: ₹10 lakh to ₹1 crore
• Minimum 10% investment by the borrower
• Repayment period: Up to 7 years with a moratorium of 18 months

The scheme aims to increase women’s participation in entrepreneurship and encourage job creation.

5. Udyogini Scheme

Implemented by: Women Development Corporation (WDC)

Udyogini (meaning "woman entrepreneur") supports women from economically weaker backgrounds to start their own businesses by offering subsidized loans and training programs.

Key Benefits:

• Loan amount: Up to ₹3 lakh
• Interest-free loans for women from economically weaker sections
• Focus on rural and semi-urban women entrepreneurs

This scheme is particularly beneficial for women engaged in agriculture, retail businesses, and micro-enterprises.

6. Annapurna Scheme

Implemented by: State Bank of India (SBI)

This scheme is designed for women entrepreneurs in the food sector, such as catering businesses, restaurants, and food processing units.

Key Features:

• Loan amount: Up to ₹50,000
• Collateral-free loans with a guarantor requirement
• Flexible repayment tenure of up to 36 months

It helps women establish small food businesses, tiffin services, and catering ventures.

7. Women Entrepreneurship Platform (WEP)

Implemented by: NITI Aayog

This is a digital platform that provides mentorship, business resources, and financial assistance to women entrepreneurs across different industries.

Key Offerings:

• Funding and investment support for startups
• Networking opportunities with investors and mentors
• Training and workshops on business management and scaling up

WEP acts as a one-stop solution for women looking to grow their businesses in India.

Conclusion

The Indian government has taken significant steps to empower women entrepreneurs by providing financial aid, training, and business support. Whether it's through best business loans for women entrepreneurs, interest subsidies, or networking opportunities, these schemes help women overcome challenges in the business landscape.

If you are a woman looking to start or expand your business, exploring these schemes can provide the necessary financial and strategic support. Visit official bank websites or government portals to apply and take advantage of these opportunities.

With the right resources and support, women entrepreneurs in India can achieve financial independence and contribute to economic growth.