Press Information Bureau

Government of India

Ministry of Finance

16-December-2011 19:05 IST

The Andhra Pradesh Government had suggested to the Union Government an interest subvention scheme for Women Self Help Group (SHG) members on the lines of subvention of crop loans.

The Interest Subvention Scheme of the Government of India (GoI) is applicable only to farmers for availing short term crop loan upto Rs. 3 lakh for a period of one year. The objective of the Scheme is to increase agriculture production.

The GoI, has announced in the Budget 2011-12 to create a ‘Women SHG’sDevelopment Fund’ with a corpus of Rs. 500 crore.

This information was given by the Minister of State for Finance, Shri Namo Narain Meena in written reply to an Unstarred Question in Lok Sabha today.

DSM/Hb

Interest subvention scheme for women self help group members proposed to mirror agricultural loan subvention, plus a dedicated development fund. The Andhra Pradesh proposal sought an interest subvention scheme for Women Self Help Group members modelled on the central interest subvention for short term crop loans to farmers, which is confined to one year agricultural loans to boost production; the Union Budget also proposed a Women SHG's Development Fund to support women SHGs.