The surge of women entrepreneurs in India, constituting 14 per cent of the total, reflects their growing empowerment and economic contribution. Amidst this transformation, pivotal schemes like the Credit Guarantee Scheme, Self Reliant India Fund, Pradhan Mantri MUDRA Yojana (PMMY), and Stand-Up India Scheme have emerged as catalysts, empowering women entrepreneurs with financial support and targeted assistance. These initiatives collectively fuel innovation, bridge gender gaps, and drive economic growth, underscoring their vital role in shaping an inclusive and prosperous entrepreneurial landscape.
Credit Guarantee Scheme
The Credit Guarantee Scheme acts as a financing lifeline for Micro and Small Enterprises (MSEs) by providing collateral-free credit through banks and financial institutions. The main objective of this scheme is to alleviate the lending risk for MSEs, making it easier for them to access funding. Under this scheme, banks and financial institutions receive funding assistance, enabling them to extend collateral-free credit to MSEs for loans up to Rs. 100 lakh without the need for collateral or third-party guarantees.
Self Reliant India Fund
Embedded within the Atmanirbhar Bharat package, the Self Reliant India (SRI) Fund contributes significantly to the growth of Micro, Small, and Medium Enterprises (MSMEs). This fund operates through a dual structure of a mother fund and a daughter fund, focusing on equity or quasi-equity investments. A notable component of this fund is the allocation of Rs. 10,000 crore from the Government of India to initiate equity infusion in selected MSMEs. This is further strengthened by an additional Rs. 40,000 crore sourced through Private Equity (PE) and Venture Capital (VC) funds, leveraging private sector expertise and investment to enhance the MSME sector.
Pradhan Mantri MUDRA Yojana (PMMY)
The Pradhan Mantri MUDRA Yojana (PMMY) embodies the spirit of financial inclusivity, targeting non-corporate, non-farm small and micro enterprises. Various financial institutions, including Commercial Banks, RRBs, Small Finance Banks, MFIs, and NBFCs, extend loans up to Rs. 10 lakh under PMMY. To cater to different growth stages and funding needs, PMMY offers three distinct products: ‘Shishu’, ‘Kishore’, and ‘Tarun’. These products serve as reference points for the progressive phases of growth for beneficiary micro units and entrepreneurs.
Stand-Up India Scheme
The Stand-Up India Scheme aims to foster entrepreneurial diversity by facilitating bank loans for setting up Greenfield Projects. These projects span across the manufacturing, services, and trading sectors, with the goal of providing a stepping stone for at least one Scheduled Caste (SC) or Scheduled Tribe (ST) borrower and one woman borrower per bank branch. The eligibility criteria include SC/ST and/or woman entrepreneurs above 18 years of age, emphasizing the role of these underrepresented segments in driving economic transformation.
By implementing these schemes, the government of India is empowering women entrepreneurs and addressing the barriers they face in accessing financial resources. This not only propels economic growth but also fosters a more inclusive and thriving entrepreneurial ecosystem. Through these initiatives, women entrepreneurs are given the opportunity to realize their full potential and make significant contributions to the Indian economy.
