स्टैंड अप इंडिया स्कीम: UPSC उम्मीदवारों के लिए 9 नई जानकारियाँ जो बदल देंगी आपका नजरिया!
Stand UP India Scheme UPSC All Information
Stand UP India Scheme UPSC, On April 5, 2016, the Indian government introduced the Stand Up India initiative. Through the provision of bank loans ranging from ₹10 lakh to ₹1 crore for the establishment of new businesses, it seeks to encourage entrepreneurship among women, Scheduled Tribes (ST), and Scheduled Castes (SC). The program’s main goal is to give these under-represented groups access to capital so they can launch greenfield businesses in the trading, manufacturing, or service industries. In order to promote inclusive economic growth and social fairness, each bank branch must assist at least one SC/ST borrower and one female borrower. In order to guarantee the success of the enterprises, the program also offers support services like marketing, skill development, loan application facilitation, and pre-loan training.
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What is the Stand Up India Scheme?
The government launched the Stand Up India Scheme. It was established in 2015 to encourage women and members of Scheduled Tribes (STs) and Scheduled Castes (SCs) to pursue entrepreneurship. The program offers qualified customers loans up to Rs. 1 crore without collateral. New businesses in the manufacturing, service, and agriculture sectors have started using this.
By offering bank loans for the establishment of greenfield businesses, the program seeks to encourage entrepreneurship among women, SCs, and STs, thereby promoting inclusive economic growth and employment creation.
The goal of the Stand-Up India project is to provide bank loans between 10 lakh and 1 crore to at least one borrower who belongs to the Scheduled Caste (SC) or Scheduled Tribe (ST) category.
Furthermore, the project guarantees that each bank branch helps at least one female borrower start a new company in the commerce, manufacturing, or service industries.
A SC/ST or female entrepreneur must hold a minimum of 51 per cent of the ownership and controlling interest in non-individual businesses.
Features of Stand Up India Scheme
The program requires bank branches to assist a minimum of one woman borrower and one SC/ST borrower. It offers loans ranging from ₹10 lakh to ₹1 crore with an 18-month moratorium and a 7-year repayment period.
The program provides loans for starting new enterprises in the range of Rs 10 lakhs to Rs 1 crore, including operating capital.
An average of two entrepreneurial firms—one for a woman entrepreneur and one for a SC/ST entrepreneur—are anticipated to be supported by each bank site.
Withdrawals of credit will be made using RuPay debit cards.
The plan will support other departments’ ongoing projects.
The Dalit Indian Chamber of Commerce and Industry (DICCI) and other industry-specific organisations will join the Small Industries Development Bank of India (SIDBI) in leading the Stand Up India campaign.
SIDBI and the National Bank of Agriculture and Rural Development will have their own Stand Up Connect Centres.
The borrower’s credit history will be monitored by the bank to ensure that the funds are not being used for self-serving activities.
Convergence and Inter-Sectoral Linkages in the Scheme
Scheme of Pradhan Mantri Mudra Yojana. Assisting pedal rickshaw pullers in becoming E-rickshaw owners is the primary goal. Its objective is to triple their income.
These e-rickshaw recipients will also be a part of other significant government initiatives, such as:
Mantri Pradhan Pradhan Mantri Suraksha, Jan Dhan Yojna, and Pradhan Mantri Jeevan Jyoti Bima Yojana are the Prime Minister’s eight other programs, including the Bima Yojana and the Atal Pension Yojana.
The goal of Bhartiya Micro Credit (BMC) is to ensure that the nation’s homeless and impoverished citizens are aware of social security and financial inclusion initiatives.
The funding for all of the services under this program comes from the Mudra Program.
When e-rickshaws take the place of pedal rickshaws, the nation will continue to be cleaner. The Swachh Bharat Abhiyan includes it.
The project will include locations for charging and servicing e-rickshaws. In addition to helping small firms, this will open doors for entrepreneurs.
This program successfully integrates the ‘Stand Up India’ campaign with Bhartiya Micro Credit (BMC) E-Rickshaws. More people will be able to stand and become self-sufficient as a result.
Stand Up India Scheme Eligibility
SC, ST, and female entrepreneurs over the age of 18 who want to launch a greenfield initiative in the manufacturing, services, or trading sectors are all eligible applicants.
The program’s target audience is female entrepreneurs who are at least eighteen years old and/or SC/ST.
Only green field projects are eligible for loans under this program. Greenfield ventures are the beneficiary’s first foray into the manufacturing, services, trading, or agricultural sectors.
SC/ST and/or female entrepreneurs must own a majority of 51 per cent of the shares in non-individual businesses.
Borrowers must not owe any money to banks or other financial organisations.
The plan permits a maximum of 15% in margin funds, which can be obtained through suitable State or Central programs.
The borrower must pay at least 10% of the project’s total cost, regardless.
With a minimum loan value of ₹10 lakh and a maximum credit amount of ₹1 crore, the composite loan covers up to 75% of the project cost and consists of both term loan and working capital components.
Micro and small businesses are subject to risk-based pricing for loans beyond Rs. 10 lakh up to Rs. 100 lakh.
A composite loan consisting of a term loan and working capital ranging from 10 to 100 lahks is being provided.
The loan has a maximum moratorium of 18 months and is due back in 7 years.
Cash credit limitations typically authorise working capital limits. However, if loaning authority is delegated, working capital up to 10 lahks may be authorised through an overdraft facility. To make the borrower’s life easier, a Rupay debit card will be provided.
A cash credit limit will determine a working capital limit. A Rupay debit card will be provided for the borrower’s convenience.
Where appropriate, collateral security or the Credit Guarantee Fund Scheme for Stand-Up India Loans (CGFSIL) guarantee may be used in addition to primary security to secure the loan.
Stand Up India Scheme Benefits
The program offers new business owners comprehensive help by facilitating the loan application process and offering pre-loan training, skill development, marketing support, and financial aid.
By encouraging and pushing new business owners to lower unemployment, the Stand Up India initiative benefits the general population.
For investors, it offers the perfect platform, complete with time, legal expertise, and professional advice.
The program helps business owners in the first two years of their venture and continues to support consultants.
One benefit for borrowers is a seven-year repayment period, which lessens the stress associated with loan repayment.
The program seeks to eliminate operational and regulatory hurdles to enterprises.
It might empower women, tribal people, and Dalits while creating jobs.
Other government programs like “Skill India” and “Make in India” can be sparked by the Stand Up India campaign.
By providing access to bank accounts and technical expertise, it fosters social and financial inclusion and helps to preserve India’s demographic dividend.
Challenges Associated with the Stand Up India Scheme
Effective implementation may be hampered by obstacles such as poor target group awareness, complicated loan application procedures, and trouble obtaining post-loan support services.
There is little emphasis on teaching people about the socioeconomic facets of women’s and Dalit business. A lack of awareness could make the plan less successful.
The plan calls on businesses to be creative. However, the DIPP has the last say over what constitutes innovation. Delays can arise from this, and worthy business endeavours might be shut out.
The 25 crore turnover requirement is difficult to meet. Very few SC/ST-led and women-led businesses fit this description.
Local domination and elite capture are two problems that self-help groups frequently encounter. The plan doesn’t specify how to deal with these issues.
One obstacle is the financial industry’s poor penetration of rural communities. Despite Pradhan Mantri Jan Dhan Yojana’s (PMJDY) achievements, there are still obstacles such as the digital divide, limited awareness, a lack of institutional bank links, and other technical problems.
The manufacturing sector’s needs are thought to be unmet by the funding support, which ranges from 10 lakhs to 1 crore.
In terms of sector-specific knowledge, access to skilled labour, and technological expertise, SC/ST women and persons sometimes lack significant empowerment. For the plan to succeed, these gaps must be filled.
Ans: The Stand Up India loan program seeks to provide bank loans for the establishment of greenfield businesses to at least one Scheduled Caste/Scheduled Tribe borrower and one woman borrower in each bank branch, with amounts ranging from ₹10 lakh to ₹1 crore.
Q. What is the interest rate for the Stand Up India scheme?
Ans: Subject to rules imposed by the Reserve Bank of India, the interest rate for loans made under the Stand Up India program is normally determined by the going rates set by the participating banks.
Q. Describe the Stand Up India program.
Ans: Launched in 2016, the Stand Up India initiative promotes entrepreneurship among women and members of Scheduled Castes and Scheduled Tribes by offering funding, skill development, and other support for the establishment of greenfield businesses.
Q. Which ministry is involved with the Stand Up India initiative?
Ans: The Ministry of Finance, Government of India, is linked to the Stand Up India initiative.