The Union Cabinet has approved the continuation of the Stand-Up India Scheme for five more years, until March 31, 2031. The programme aims to provide financial assistance to at least 2.5 lakh additional entrepreneurs from women, Scheduled Caste (SC) and Scheduled Tribe (ST) communities.
The decision was announced on November 11, 2026. The Cabinet has also approved a credit guarantee corpus of ₹4,111 crore to support lending under the scheme.
Who can apply?
The scheme is intended for women and SC/ST entrepreneurs setting up greenfield enterprises. Eligible activities include manufacturing, services, trading and agriculture-allied businesses.
How much loan support is available?
- Loan size: More than ₹10 lakh and up to ₹1 crore.
- Support may be structured as a composite loan covering working capital and term-loan needs, or as a term loan.
- Eligible loans can cover up to 85 per cent of the project cost, subject to scheme conditions.
- Credit guarantee coverage: 85 per cent of the loan amount.
- Guarantee fee: Standard fee of 0.50 per cent.
The scheme supports new or greenfield enterprises rather than simply providing an unrestricted personal loan. Applicants must meet the eligibility and project requirements set out by the participating lending institution and scheme guidelines.
What is the target until 2031?
The government aims to support at least 2.5 lakh more entrepreneurs over the next five years. Since the scheme began in April 2016, it has facilitated loans to more than 2.75 lakh women and SC/ST entrepreneurs, according to the Cabinet announcement.
How to apply
Eligible applicants can approach a scheduled commercial bank branch or use the official Stand-Up Mitra portal to understand the application process and connect with lending institutions. Applicants should verify current documentation, project requirements and loan terms directly with the bank.
Source
Press Information Bureau: Cabinet approves continuation of Stand-Up India Scheme, November 11, 2026
