The Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM), a flagship initiative under the Ministry of Rural Development, has entered into a Memorandum of Understanding (MoU) with ten banks, including nine public sector banks and one private bank, to support women entrepreneurs. The banks involved in this partnership include Bank of Baroda, Bank of India, Bank of Maharashtra, Canara Bank, Central Bank of India, Indian Bank, Indian Overseas Bank, Punjab National Bank, UCO Bank, and IDBI Bank Limited.
These banks have developed tailored financial products specifically designed to provide loans to individual women entrepreneurs within the framework of DAY-NRLM. These loan offerings are intended to help women access larger loans, enabling them to expand their businesses. This initiative is closely aligned with the “Lakhpati Didi” vision, which was outlined by Prime Minister Narendra Modi, aiming to create a generation of women earning substantial incomes through their enterprises.
Shri Shailesh Kumar Singh, Secretary of Rural Development, emphasized the importance of this collaboration, encouraging banks to seize this opportunity to provide financing to women Self-Help Group (SHG) members. He highlighted that such support could significantly enhance the livelihoods of rural women by enabling them to acquire the necessary resources to start or scale their businesses. This initiative is expected to generate employment in rural areas, benefiting many women involved in SHGs.
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Additionally, Shri Charanjit Singh, Additional Secretary of Rural Development, urged banks to ensure their branch officials are well-informed about the specific loan products created for rural women. This step aims to simplify the process for women seeking financial support, ensuring they face no challenges at the branch level.
The DAY-NRLM program has witnessed significant growth in SHG-Bank linkages, with over Rs. 9.5 crore in loans disbursed to SHGs since the program’s inception. This new initiative to provide individual loans marks a strategic shift, reflecting the progression of women from small-scale enterprises to more advanced, larger-scale ventures.