Stand-Up India Scheme: Banks Approve Over ₹62,791 Crore for 2.75 Lakh Beneficiaries

Banks have sanctioned loans worth ₹62,791 crore under the Stand-Up India Scheme since its launch in April 2016. As per the data presented in Parliament reveals that 2,75,291 loan accounts have been covered so far.

Scheme Purpose

MoS for Finance Pankaj Chaudhary told Rajya Sabha, the scheme was introduced on April 5, 2016, with the objective of supporting entrepreneurship among Scheduled Caste, Scheduled Tribe, and women borrowers. It requires each branch of Scheduled Commercial Banks to extend loans ranging between ₹10 lakh and ₹1 crore to at least one SC/ST borrower and one woman borrower.

Loans under the scheme are provided for greenfield enterprises. These include businesses in manufacturing, trading, and services, as well as activities linked to agriculture. The scheme is aimed at first-time business ventures set up by eligible categories.

Interest Subsidy Details

In response to a query in Parliament, the government reported that a total of ₹17,811.72 crore has been disbursed under the Modified Interest Subvention Scheme (MISS) during FY 2024-25. This includes both Interest Subvention and Prompt Repayment Incentive for short-term crop loans, as per data from the Department of Agriculture and Farmers’ Welfare.

Read more: UK and Uttar Pradesh Sign Pact for Chevening Scholarships for Students!

Peer-to-Peer Lending Regulations

MoS Chaudhary also shared regarding the regulation of peer-to-peer (P2P) lending platforms. The Reserve Bank of India oversees these entities through the NBFC-P2P Master Directions issued in 2017 and updated on February 27, 2025. These directions outline rules for fair lending practices, borrower protection, and risk management.

Compliance with the framework is checked during supervisory assessments of Non-Banking Financial Companies. Instances of non-compliance are taken up for rectification, with supervisory or enforcement actions initiated when required.

Conclusion

The Stand-Up India Scheme has facilitated over 2.75 lakh loan accounts with sanctioned amounts crossing ₹62,000 crore. Alongside this, financial support through interest subsidies for farmers and regulatory supervision of lending platforms remain active components of government-led financial measures.

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