Stree Nidhi Launches Rs 3 Lakh Loan Scheme for Women Entrepreneurs

By: Women Entrepreneurs Review Team | Wednesday, 14 October 2026

In an effort to help women-owned businesses, Stree Nidhi Andhra Pradesh has launched a special loan scheme under which eligible self-help groups (SHGs) members will be able to avail loans of up to ₹3 lakh. State Minister for MSME, Rural Poverty Alleviation and NRI Empowerment, Kondapalli Srinivas announced the plan on Tuesday.

The financial help will allow women entrepreneurs to pursue their entrepreneurial dreams and making themselves economically independent. The scheme is designed to make loan approvals easier through loan sanctions within 48 hours with an annual interest of 11%. The lending program will also include smaller credit needs like subsidized loans under the Pradhan Mantri Formalization of Micro Food Processing Enterprises (PMFME) scheme.

Key Highlights:

• Stree Nidhi Andhra Pradesh offers eligible SHG women loans of up to ₹3 lakh at 11% annual interest
• Andhra Pradesh allocates ₹3,000 crore for women entrepreneurs in FY 2026–27 to expand credit access
• Higher SHG loan limits, subsidised credit and digital banking aim to strengthen women’s entrepreneurship

The project attempts to bring formal financing closer to women who may need capital to either begin small-scale enterprises or improve upon existing businesses. In addition to this, quick loan processing will ensure that there is less delay in funding which may help in addressing the needs of businesses. The minister further acknowledged the efforts of Stree Nidhi in empowering women financially through its lending process. From 2024-25 till October 8, 2026, the institution sanctioned loans worth ₹14,467.12 crore to 17.96 lakh women. Through the use of digital transaction and biometric system, the process of lending and repayment has been made easier.

₹4,443.13 crore was recovered through digital money transactions, whereas 30,000 biometric machines worth ₹6 crore each were supplied to the village organisations. Stree Nidhi recorded recovery of loans at a rate of 98%. The new program capitalizes on the same technology by connecting more members of SHG with credit and business development possibilities. Stree Nidhi has also increased its lending capacity with the maximum loan size been raised from ₹5 lakh to ₹17 lakh, whereas village-level organizations can get loans worth up to ₹1.5 crore. Such an increased loan ceiling is aimed at helping women get bigger loans for their income-generating and entrepreneurial activities.

The institution also provides loans for education and marriage with an interest subsidy of 4%. It arranges subsidized loans for food processing units eligible for the PMFME. It also provides short term loans to women in tribal communities. These services offer financial aid to women for various purposes. For the financial year 2026-27, the state government has allocated ₹3,000 crore for loans to women entrepreneurs. The Stree Nidhi scheme includes loan guarantee and accident insurance cover schemes, ensuring the families of the borrowers do not face financial hardships in case of the borrower’s death.

As stated by the minister, these steps will facilitate the empowerment of women economically, support entrepreneurship and promote digital banking among others. The scheme reflects the government’s vision of developing entrepreneurship within the families and having an entrepreneur in each family.