The Yogi Adityanath Government in Uttar Pradesh has unveiled a significant initiative for the youth of the state in the budget for Fiscal Year 2024-2025. In the budget announcement, Finance Minister Suresh Khanna revealed the launch of the “Mukhyamantri Yuva Udyami Vikas Abhiyan”.
This scheme is designed to empower educated and skilled youth by providing them with financial support for the establishment of new micro-industries to foster self employment opportunities. A budgetary allocation of Rs 1,000 crore has been proposed for this.
This innovative step by the Yogi Government seeks to generate employment in both rural and urban areas through the establishment of fresh micro-enterprises.
Under the scheme, interest-free loans of up to a maximum of Rs 5 lakh will be provided to projects in the industry and service sectors. The Self-Employment Mission aims to benefit one million units over the next decade by funding 100,000 units annually.
Individuals trained through government schemes such as Vishwakarma Shram Samman Yojana, One District One Product Training and Toolkit Scheme, Scheduled Caste/Tribe/Other Backward Class Training Scheme, and Skill Upgradation by the Uttar Pradesh Skilled Development Mission will be eligible.
Along with this, youth holding a certificate course/diploma/degree from any school/educational institution will also benefit from this scheme. Micro units in the industry and service sector with a maximum project cost of up to Rs 5.00 lakh will be eligible.
Following the successful repayment of the initial loan within the scheme, the unit becomes eligible for second-stage financing. Under this, a composite loan of double the first stage loan, up to a maximum of Rs 7.50 lakh, can be given. Provision for grants has also been made to promote digital transactions.
The scheme application process will be online. All loans received from banks/financial institutions will be provided CGTMSE coverage, against which full payment of fees will be made under the scheme. Funding will be available from nationalised/scheduled/rural banks, SIDBI, and all financial institutions notified by the Reserve Bank of India.