DAY-NRLM Partners with Public Sector Banks and One Private Bank to Empower Women Entrepreneurs in Rural Areas

The DAY-NRLM program has witnessed significant growth in SHG bank linkages since its inception, with banks disbursing more than Rs. 9.5 crore in loans to self-help groups.

The Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM), under the Ministry of Rural Development, signed a Memorandum of Understanding (MoU) with nine Public Sector Banks and one Private Bank to boost financial support for women entrepreneurs in rural areas. The banks involved 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 introduced tailor-made loan products specifically designed to finance individual women entrepreneurs under DAY-NRLM. These products are expected to enable women to access larger loans, helping them to scale up their enterprises significantly. This initiative aligns with Prime Minister Narendra Modi's vision of creating Lakhpati Didi, encouraging women to become self-reliant and generate substantial income through their businesses.

Empowering Women and Creating Rural Employment

Secretary of Rural Development, Shri Shailesh Kumar Singh, urged the banks to leverage this opportunity to support women Self-Help Group (SHG) members with the necessary funds to start and expand their economic activities in rural areas. He emphasized that this initiative will not only empower women but also create employment opportunities in rural regions, benefiting a significant number of SHG members.

Additional Secretary Shri Charanjit Singh stressed the importance of raising awareness among bank branch officials about these specific loan products to ensure that rural women do not face challenges when seeking financial support at the branch level.

A Strategic Shift for Rural Women Entrepreneurs

The DAY-NRLM program has witnessed significant growth in SHG bank linkages since its inception, with banks disbursing more than Rs. 9.5 crore in loans to self-help groups. The move to extend individual loans represents a strategic shift in the program, reflecting the progression of women from small-scale enterprises to larger, more ambitious ventures.

By providing access to larger loans and supporting rural women in scaling their businesses, the DAY-NRLM initiative aims to foster economic development and self-reliance in rural India. The collaborative effort between the Ministry and the banks marks a significant step forward in realizing the goal of women-led entrepreneurship and sustainable growth in rural areas.