As the backbone of the Indian economy, MSMEs (Micro, Small and Medium Enterprises) contribute significantly to the country’s GDP and employment opportunities. However, despite their importance, these businesses often face financial challenges, such as the inability to secure adequate funds due to lack of collateral or credit history.
To support the growth and development of MSMEs, various state and central government loan schemes have been introduced in India. These schemes offer financial assistance to small business owners, helping them to meet their working capital and investment requirements.
In this blog, we will focus on loan schemes available for MSMEs in Uttar Pradesh. We will provide a detailed description of each scheme, along with separate tables listing the scheme’s eligibility criteria, gender, age group, qualification, social category, industry profile, rural/urban status, and whether the scheme is offered by the state or central government.
- UP Micro and Small Enterprises Facilitation Council (MSEFC)
UP MSEFC provides a platform to MSMEs for redressal of their grievances, promoting their growth and development, and ensuring the smooth functioning of their businesses. The council also assists MSMEs in availing loans from banks and other financial institutions by providing guidance and support in preparing project reports, submitting loan applications, and fulfilling other formalities.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State/Central Govt. |
|---|---|---|---|---|---|---|---|
| UP Micro and Small Enterprises Facilitation Council (MSEFC) | Both | Higher Secondary | 18+ | All | All MSMEs | Both | State Govt. |
- Mukhyamantri Yuva Swarojgar Yojana (MYSY)
MYSY aims to provide financial assistance to unemployed youth in the age group of 18 to 40 years to set up their own enterprises in the manufacturing, service, and trading sectors. The scheme provides a subsidy of 15% to 35% of the project cost, subject to a maximum limit of INR 25 lakhs. The beneficiaries should have a minimum educational qualification of class 10th.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State/Central Govt. |
|---|---|---|---|---|---|---|---|
| Mukhyamantri Yuva Swarojgar Yojana (MYSY) | Male/Female | Minimum class 10th | 18-40 years | NA | Manufacturing, Service, Trading | NA | State Govt. |
- Uttar Pradesh State Innovation Council (UPSIC) Scheme
UPSIC provides financial assistance to MSMEs for technology upgradation and innovation. The scheme provides a grant of up to 50% of the project cost, subject to a maximum of INR 10 lakhs. The beneficiaries should have a registered MSME with a minimum of three years of experience.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State/Central Govt. |
| Uttar Pradesh State Innovation Council (UPSIC) Scheme | NA | Registered MSME | 18-55 | All | Technological | Both | State Govt. |
- Mukhya Mantri Gramodyog Rojgar Yojana (MMGRY)
This scheme aims to promote self-employment opportunities in rural areas by providing financial assistance to set up micro-enterprises in the manufacturing, services, and trade sectors. The loan amount can go up to Rs. 25 lakhs, and the subsidy on interest rates ranges from 7% to 15%. To be eligible for the scheme, the applicant must have completed 18 years of age, and the business must be in the rural areas of the state.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State Govt./Central Govt. |
|---|---|---|---|---|---|---|---|
| MMGRY | Both | Not Applicable | 18 years or above | All | Manufacturing, Services, Trade | Rural | State Govt. |
- Mukhya Mantri Yuva Swavalamban Yojana (MMYSY)
This scheme aims to provide financial assistance to unemployed youth in setting up their own ventures. The loan amount can go up to Rs. 50 lakhs, and the subsidy on interest rates ranges from 7% to 15%. To be eligible for the scheme, the applicant must be between 18 to 40 years of age and a resident of Uttar Pradesh.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State Govt./Central Govt. |
|---|---|---|---|---|---|---|---|
| MMYSY | Both | 12th pass or above | 18 to 40 years | All | All | Rural/Urban | State Govt. |
- Mukhya Mantri Mahila Udyam Nidhi Yojana (MMUNY)
This scheme aims to promote entrepreneurship among women by providing financial assistance for setting up small enterprises. The loan amount can go up to Rs. 10 lakhs, and the subsidy on interest rates ranges from 7% to 15%. To be eligible for the scheme, the applicant must be a woman between 18 to 55 years of age and a resident of Uttar Pradesh.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State Govt./Central Govt. |
|---|---|---|---|---|---|---|---|
| MMUNY | Women | Higher Secondary, Preferably Graduate | 18 to 55 years | All | All | Rural/Urban | State Govt. |
- Uttar Pradesh Skill Development Mission:
The Uttar Pradesh Skill Development Mission aims to provide skill development training to the youth of the state to enable them to become self-employed or seek employment in the industry. The mission offers various training programs in different sectors, including MSMEs, and provides financial assistance to individuals for starting their own ventures.
| Scheme Name | Gender | Qualification | Age Group | Social Category | Industry Profile | Rural/Urban | State/Central Govt. |
|---|---|---|---|---|---|---|---|
| Uttar Pradesh Skill Development Mission | Both | Skill Based | 18-35 years | All | MSMEs and others | Rural/Urban | State Government |
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