Economy
Stand-Up India extended to 2031 with a ₹4,111 crore guarantee fund to reach 2.5 lakh more entrepreneurs
The scheme backs bank loans for women, SC and ST entrepreneurs; the new fund guarantees 85% of each loan.
In short
2.5 lakhmore entrepreneurs targeted by 2031
- Guarantee fund: ₹4,111 crore
- Loan cover: 85%
- Beneficiaries so far: 2.75 lakh+
The decision
The Union Cabinet on 11 November extended Stand-Up India by five years, to 31 March 2031, and approved a ₹4,111 crore credit guarantee corpus. Minister Ashwini Vaishnaw said the guarantee covers 85% of the loan at a standard fee of 0.5%, with no extra risk premium.
Why it matters
Launched in April 2016, the scheme has helped more than 2.75 lakh people from women, SC and ST communities get bank loans to start businesses. A guarantee makes banks more willing to lend to first-time founders without collateral, which is the main hurdle for small entrepreneurs.
