Top 7 Govt Schemes Boosting Women-Led MSME Growth in India

By: Priyanka Vyas, Content Writer

2. Annapurna Scheme for Women Food Entrepreneurs

Annapurna scheme is an initiative by the Government to assist women entrepreneurs who wish to start food-based enterprise like catering services, tiffin services, food stalls, and so forth. Many women are incredible chefs and can benefit economically by establishing their catering businesses. The loan can be repaid in 36 total installments and requires collateral and a guarantor for approval. The collateral for Annapurna scheme loans is taken in the form of assets.

The loan can be utilized in buying kitchen equipment, utensils, gas installation, working tables, raw materials, etc. Interested women entrepreneurs can avail the loan from the public sector banks and is required to be paid back in 36 months at a fixed interest rate. The applicants must be women of age 18 years and above who have been running food business with creditable rating history.

Scheme at a Glance:

Loan Amount: Up to ₹50,000

Sector: Food & catering

Documents Required: The beneficiary requires government identity proofs, address proof, age proof, and description of proposed business plan, photographs, bank passbooks, and various other documents as required

How to Apply: You can visit nearest public or private sector commercial banks that offer the scheme

3. Udyogini Scheme

Udyogini Scheme by the Ministry of Women and Child Development is a woman-focused financial initiative that aids female entrepreneurs by offering collateral free loans of up to ₹3 lakhs to set up and develop their small businesses. The scheme is managed by Karnataka State Women's Development Corporation (KSWDC) for residents of Karnataka. It involves state women development corporations and partner banks to work in unison. A total of 88 activities have been approved under the scheme related to agriculture, industry, trade and services sectors.

Applications are accepted from females between 18 to 55 years based on the income criteria that are laid down by the ministry. Under this scheme, there is 50% subsidy for the females belonging to the Scheduled Castes and Scheduled Tribes community, whereas 30% subsidy is available for the females from other communities, which is capped at ₹90,000. However, an interest-free loan facility is available to widowed, differently abled, and destitute women, while others can avail the loan facility at concessional interest rates.

Scheme at a Glance:

Loan Amount: Up to ₹3 lakh

Sector: Trade, manufacturing, agriculture & services; micro enterprises

Documents Required: The beneficiary requires government identity proofs, address proof, income certificate, detailed  project report of the chosen activity, SC/ST category proof, and various other documents as required

How to Apply: You can visit nearest branch of Punjab & Sind Bank

4. Cent Kalyani Scheme

Cent Kalyani Scheme is an initiative enabling women entrepreneurs to get financial assistance to form or expand their micro and small ventures. Offered by the Central Bank of India, the scheme offers unsecured loans up to ₹1 crore through term loans, working capital loans, or non-fund based credit facilities. The scheme aligns with the framework under the Ministry of Micro, Small, and Medium Enterprises.

Eligible applicants includes financial aid for female entrepreneurs who have set up or intend to start their own MSMEs, along with professionals like doctors, engineers, chartered accountants, artists, and artisans. The eligible firms include boutiques, salons, tailor shops, day care centers, mobile restaurants, etc. Under the scheme, the loan offers a margin of 20 percent and has a repayment period of 84 months, including a moratorium of six months. No collateral and third party guarantee is needed for loans under CGTMSE.

Scheme at a Glance:

Loan Amount: Up to ₹1 crore

Sector: Manufacturing, services, agriculture & professional businesses

Documents Required: The beneficiary requires government identity proofs, address proof, business registration, proposed project report, income proof, and various other documents as required

How to Apply: You can visit Central Bank of India’s official website.