More than 1.3 million Keralites have moved back to their homeland in the recent past and many are hoping to start a new life. To accommodate this increase in the number of the returnees, the Government of Kerala introduced the NORKA Pravasi Loan scheme- a financial aid program to help the Non-Resident Keralites (NRKs) to rebuild their lives through self-employment and business ventures. This scheme provides a valuable boost whether you want to start a new startup, grow a small business or get back to financial stability. There is a lot to know about the NORKA Pravasi Loan, including eligibility, benefits, and the step-by-step application process which we will discuss in this blog.

What is NORKA Pravasi Loan?

The NORKA Pravasi Loan is a financial assistance program under the NORKA Roots Loan Scheme and it is meant to aid Non-Resident Keralites (NRKs), who have come back to their home and are interested in making a fresh start by becoming self-employed or setting up a business. This program provides financial support by providing low interest rate on NORKA loans so that the returnees are self-reliant and the local economy of Kerala is also boosted.

So this is what you should understand:

  • Application process of NORKA Pravasi Loan: Go to the official NORKA Roots site, complete the application form and attach necessary documents such as the ID proof, overseas employment information, and a feasible business plan.
  • NORKA loan interest rate: The loan is charged a subsidized interest rate that is normally lower than the normal business loan and therefore the loan is repaid easily by the returnees.
  • Pravasi loan eligibility: Candidates should be NRKs who have come back in the past three years, with legal evidence of abroad work and a viable business plan.
  • NORKA Roots Loan Scheme: This is a collaborative scheme between NORKA and partner banks that provides loans of up to 30 lakhs with the government-backed guarantees.
  • Pravasi Pension Scheme: In addition to the loan, returnees can also enroll in this pension scheme for long-term financial stability and retirement support.

This scheme is a powerful opportunity for returning NRKs to rebuild their lives and contribute to Kerala’s growing entrepreneurial ecosystem.

Who is eligible for Pravasi Bhadratha?

  • Applicants are to be either members of Kudumbashree NHG or any organization formed under the aegis of Kudumbashree.
  • Applicants are to be Return emigrants who have completed at least two years of employment abroad.

Three major schemes under this rehabilitation Programme:

1. Pravasi Bhadratha – PEARL

It has been proposed to implement the scheme through the Kudumbashree Mission to address the targeted group with a sustainable livelihood.

Benefits and repayment of Pravasi Bhadratha – PEARL scheme?
  • Financial assistance up to 75% of the project cost or Interest-free loans up to Rs. 2 Lakhs.
  • Repayment with equal installments within two years.

2. Pravasi Bhadratha – MEGA

It has been proposed through KSIDC is envisaged to provide loans in the range of Rs. 25 lakhs to Rs. 2 crores per enterprise.

Benefits and repayment of Pravasi Bhadratha – MEGA scheme?
  • Firstly, KSIDC provides loans @ interest of 8.25% to 8.75%.
  • NORKA-ROOTS will provide interest incentives up to 3.25% to 3.75% for the first 4 years.

3. Pravasi Bhadratha – MICRO

This scheme is envisaged to assist returned NRKs in setting up Micro and small-scale industries. The scheme is proposed to be implemented through the branches of Kerala State Financial Enterprises.

Benefits and repayment of Pravasi Bhadratha – MICRO scheme?
  • Loans up to Rs. 5 lakhs.
  • Capital subsidy @ Rs. 25% of the loan component up to a maximum of Rs. 1 lakh.
  • Interest subvention for initial 4 years @ 3%.

How to Apply for NORKA Pravasi Loan?

NORKA Pravasi Loan falls under the NORKA Roots Loan Scheme, which is meant to assist Non-Resident Keralites (NRKs), who have returned to Kerala, to start a new business or self-employment enterprise. This is how to go about applying to this useful scheme step by step.

Basic Eligibility

Ensure that you qualify to get the pravasi loan:

  • You have to be a Keralite with two years or more experience in working overseas.
  • This is the previous three years you should have come back to India.
  • You should have genuine overseas employment records and workable business projection.
  • Loans cannot be approved without a good credit score and financial history.
Application ProcessStep-by-Step
  1. Sign-up on the NORKA Roots Portal
  • Sign up with your own and foreign job information.
  • Complete the NDPREM (NORKA Department Project for Return Emigrants) form.
  1. Post Required Documents
  • Provide soft copies of passport, visa pages, photograph, PAN card, Aadhaar and a comprehensive business/project plan.
  • Attach any certificates of experience, or business registration papers you have.
  1. Obtain a Recommendation Letter by NORKA
  • NORKA will provide a recommendation letter after checking your application and submit it to the bank.
  1. Borrow the Loan at a Partner Bank
  • Visit any of the participating banks in the public or the private sector carrying your NORKA recommendation letter.
  • Make an application to apply for the loan by submitting your documents and project report.
  1. Loan Evaluation and Granting
  • Your business plan, credit score, and eligibility will determine the decision of the bank regarding your application.
  • When it is approved, the loan amount will be credited to your account.
  1. Receive Subsidy Benefits
  • Eligible applicants have the option of enjoying up to 15 percent capital subsidy and 3 percent interest subsidy within a maximum period of four years.
  • The capital subsidy is typically credited after three years of continuous business operations, while the interest subsidy is credited quarterly on timely repayments.
Key Documents Required
  • Passport and visa (first and last pages)
  • PAN card and Aadhaar
  • Photograph and address proof
  • Proof of overseas employment (work permit, experience letter, etc.)
  • Business/project report with cost estimation
  • Bank details and NORKA registration proof
Processing Timeline
  • Application submission: Immediate
  • NORKA verification: 2–3 weeks
  • Bank processing & disbursal: Usually 2–4 weeks after receiving the recommendation letter

How can Finline Assist you to Create the Project Report for Bank Loan?

NORKA Pravasi Loan is a well-intended program that enables the returning Non-Resident Keralites to restructure their lives by becoming self employed and engaging in small businesses. It offers a good financial base to budding entrepreneurs in Kerala since it has low interest rates, subsidy benefits and an easy application process.

But to obtain your loan a well prepared project report is a necessity. Enter Finline here. Finline is an online platform to generate financial reports for bank loans and investments, it is Canva but for  financials. In case you intend to apply to the NORKA Pravasi Loan, Finline will assist you in making a powerful and professional business plan within minutes, in the language of your choice. In addition, all the banks in India (both in the public and the private sector) accept the reports.

Click now to create your report and take the next step for your business.

NORKA Pravasi Loan FAQs

 NORKA Pravasi Loan is a special loan to the Keralites who had worked abroad and came back to the country. It assists them in launching a small business or working as self-employed. To be eligible, you should have been abroad the last 2 years or more, and have come back to Kerala in the past 3 years.

Online application can be done on the NORKA Roots site. The first step is to sign up with your information and then complete the loan application and attach documents such as your passport, visa, and business plan. Once approved NORKA will provide you with a letter to submit to the bank.

Depending on your business plan and the decision of the bank, you can receive the loan in an amount of 1 lakh to 30 lakhs.

The loan offers a lower interest rate with a 3% interest subsidy for up to 4 years. You usually have 3 to 7 years to repay the loan, based on the bank’s terms.

Yes, NORKA also provides other benefits like the Pravasi Pension Scheme and insurance plans. These help with long-term financial security and medical or accident coverage.