Government Schemes for Female Entrepreneurs in India – Guide to Loans, Subsidies and Start-Up Support
Women-led enterprises are reshaping India’s economy—driving innovation, employment, and social inclusion. To accelerate this momentum, several government schemes for female entrepreneurs in India have been introduced by both the Central and State Governments.
These initiatives offer financial assistance, interest subsidies, training, and mentorship, helping women start and grow businesses across manufacturing, services, and startups. Whether you’re launching a small home enterprise or leading a tech-driven venture, these programs provide crucial access to funding and support.
This article explores the most important Government Schemes for Women Entrepreneurs in India, divided into Central Government and State Government initiatives, with details on benefits, eligibility, and how to apply.
Key Takeaways
- India offers a strong network of Government Schemes for Women Entrepreneurs, covering funding, training, and mentorship.
- PMEGP, Stand-Up India, and PMMY are the top Central Government Schemes for Women Entrepreneurs providing collateral-free credit and subsidies.
- States such as Karnataka, Kerala, Telangana, and Odisha run additional programs focused on women’s financial empowerment.
- Most schemes are credit-linked and require Udyam registration, basic KYC, and a project report.
Table of Contents
Central Government Schemes for Women Entrepreneurs
The central government schemes for women entrepreneurs aim to boost women’s participation in the formal business ecosystem. They are implemented through banks, MSME departments, and government agencies across India.
Overview of Central Government Schemes for Women Entrepreneurs
| Scheme | What It Offers | Who Can Apply | Support Amount | Where to Apply |
|---|---|---|---|---|
| Pradhan Mantri MUDRA Yojana (PMMY) | Collateral-free loans for small businesses under Shishu, Kishore, and Tarun categories | Non-farm, non-corporate micro units; priority for women borrowers | Up to ₹20 lakh | MUDRA or JanSamarth portals / any bank |
| Stand-Up India Scheme | Loans for women and SC/ST entrepreneurs setting up new businesses | One woman or SC/ST borrower per bank branch | ₹10 lakh – ₹1 crore | myScheme portal / banks |
| PMEGP (Prime Minister’s Employment Generation Programme) | Credit-linked subsidy for new manufacturing/service enterprises | New entrepreneurs; women get higher subsidy | Up to ₹50 lakh (manufacturing) / ₹20 lakh (services); 25–35% subsidy | KVIC PMEGP portal |
| TREAD Scheme | Government grant and bank credit with training support | Women entrepreneurs in non-farm sectors, through NGOs | Grant up to 30% of loan (max ₹30 lakh) | Through NGOs/banks under MSME guidelines |
| Mahila Coir Yojana | Training, tool kits, and subsidies for women in coir production | Women in coir-producing regions | Up to 75% subsidy | Coir Board offices or website |
| Rashtriya Mahila Kosh (RMK) | Collateral-free micro-credit through NGOs/MFIs | Women in informal sectors or SHGs | As per credit product | Ministry of Women & Child Development / MFIs |
Government Schemes for Female Entrepreneurs in India PDF
View and download government schemes for female entrepreneurs in India pdf
Pradhan Mantri MUDRA Yojana (PMMY)
The Pradhan Mantri MUDRA Yojana, one of the most popular Government Schemes for female entrepreneurs in India, provides collateral-free credit for small and micro businesses.
- Loan categories:
- Shishu – up to ₹50,000
- Kishore – ₹50,000 to ₹5 lakh
- Tarun – ₹5 lakh to ₹20 lakh
- Why it helps women: Many banks offer dedicated women-centric MUDRA products with flexible repayment options.
- Where to apply: Any public or private bank, or through the official MUDRA and JanSamarth portals.
Stand-Up India Scheme
Among the flagship Central Government Schemes for Women Entrepreneurs, Stand-Up India provides loans to women and SC/ST entrepreneurs to start greenfield projects.
- Loan size: ₹10 lakh to ₹1 crore.
- Eligibility: The enterprise must be at least 51% owned by a woman entrepreneur.
- Benefit: Includes project assistance and mentoring support through the Stand-Up Connect Centres.
PMEGP (Prime Minister’s Employment Generation Programme)
PMEGP is another key Government Scheme for Women Entrepreneurs offering credit-linked subsidies to start new manufacturing or service units.
- Women’s benefit: 35% subsidy in rural areas and 25% in urban areas.
- Maximum project cost: ₹50 lakh for manufacturing and ₹20 lakh for service units.
- Bonus: Existing PMEGP units can apply for upgradation assistance.
- Where to apply: KVIC PMEGP online portal.
TREAD Scheme
The Trade Related Entrepreneurship Assistance and Development (TREAD) scheme supports women in non-farm sectors by offering government grants, bank credit, and entrepreneurial training.
- Structure: 30% grant by the government, with the rest financed by banks.
- Focus: Women supported by NGOs or SHGs needing financial access and skill development.
- Training: Conducted through MSME development institutes.
Mahila Coir Yojana
This Central Government Scheme for Women Entrepreneurs focuses on promoting self-employment in the coir sector.
- Support offered: Training, tool kits, and subsidies up to 75% for equipment and setup.
- Ideal for: Women in coir-rich states such as Kerala, Tamil Nadu, and Andhra Pradesh.
- Implemented by: Coir Board under the Ministry of MSME.
Rashtriya Mahila Kosh (RMK)
The Rashtriya Mahila Kosh offers micro-finance support to women through partner organizations.
- Purpose: To extend credit to women in informal sectors without collateral.
- Beneficiaries: SHGs and NGO-linked women entrepreneurs.
- Nature of support: Revolving fund-based micro-loans and livelihood assistance.
State Government Schemes for Female Entrepreneurs in India
In addition to central programs, several State Government Schemes for Women Entrepreneurs empower women through region-specific credit support, interest subsidies, and startup funding. These state initiatives play a major role in promoting local women-led enterprises.
Overview of State Government Schemes for Female Entrepreneurs in India
| State | Scheme | What It Offers | Typical Support | Where to Apply |
|---|---|---|---|---|
| Karnataka | Udyogini Scheme (KSWDC) | Bank loans and subsidies for women entrepreneurs | ₹1–3 lakh loan; subsidy 30–50% | KSWDC / bank branch |
| Kerala | Women in Startup Ecosystem (WISE) & KSUM Seed Support | Mentorship and seed funding for women-led startups | As per policy | Kerala Startup Mission |
| Odisha | Mission Shakti – Interest Subvention | 0% effective interest on SHG loans up to ₹3 lakh | Interest subvention to 0% | Mission Shakti portal |
| Telangana | Stree Nidhi | Affordable credit for SHG-based enterprises | Loan size varies | Stree Nidhi portal |
| Gujarat | Industrial Policy – Women Incentive | Extra 1% interest subsidy for women MSMEs | +1% subsidy over base | Gujarat Industrial Policy portal |
| Tamil Nadu | Women SHG Interest Subvention (TNSRLM) | Interest subvention for rural SHGs | Based on loan size | TNSRLM / RDPR portal |
| Rajasthan | Vishwakarma Yuva Udyami Protsahan Yojana | Capital and interest subsidy; extra 1% for women | Up to 9% total subsidy | Rajasthan Industries Department |
Karnataka – Udyogini Scheme
The Udyogini Scheme by the Karnataka State Women’s Development Corporation provides financial support for women entrepreneurs in retail, manufacturing, and service sectors.
- Subsidy: 30% for general category and 50% for SC/ST women.
- Loan range: ₹1–3 lakh.
Kerala – Women in Startup Ecosystem (WISE)
Kerala’s Women in Startup Ecosystem (WISE) and KSUM Seed Support Scheme nurture women founders through mentorship, product validation, and seed capital.
- Focus: Early-stage, innovation-led startups.
- Implementing body: Kerala Startup Mission (KSUM).
Odisha – Mission Shakti
Mission Shakti provides zero-interest loans to women self-help groups, promoting entrepreneurship at the grassroots level.
- Benefit: 0% effective interest for loans up to ₹3 lakh.
- Coverage: Over 70 lakh women SHG members across Odisha.
Telangana – Stree Nidhi
Stree Nidhi offers timely, low-cost credit to SHG women for micro-enterprises.
- Unique feature: Real-time loan processing integrated with banks.
- Support: Suitable for small traders, artisans, and self-employed women.
Gujarat – Industrial Policy Incentive
Under Gujarat’s Industrial Policy, women-owned MSMEs get an additional 1% interest subsidy over and above the standard rate. Purpose of the scheme is to encourage women’s participation in manufacturing and industrial sectors.
Tamil Nadu – SHG Interest Subvention (TNSRLM)
The Tamil Nadu State Rural Livelihood Mission provides interest subvention to women’s self-help groups to make enterprise loans more affordable.
- Objective: Promote financial inclusion and women’s entrepreneurship in rural areas.
Rajasthan – Vishwakarma Yuva Udyami Protsahan Yojana
This scheme provides capital and interest subsidies to MSMEs, with an extra 1% interest subsidy for women entrepreneurs.
- Loan size: ₹1 crore to ₹2 crore.
- Goal: Encourage manufacturing and service-based women-led enterprises.
How to Choose the Right Government Scheme for Women Entrepreneurs
| Business Stage | Best Schemes | Why |
|---|---|---|
| Micro or early-stage (₹0–₹20 lakh) | PMMY, State SHG programs | Fast approval, no collateral |
| New business / first-time founder | Stand-Up India | Large ticket size and startup focus |
| Small manufacturing / services unit | PMEGP | High subsidy rates for women and rural entrepreneurs |
| Collective / NGO-linked business | TREAD | Combines credit, grant, and training |
| Sector-specific (coir, crafts) | Mahila Coir Yojana | Tools, training, and capital subsidy |
| Technology startup | Kerala’s WISE / KSUM | Seed capital, incubation, and mentoring |
Application Checklist for Government Schemes for Female Entrepreneurs in India
Before applying for any of these Government Schemes for female entrepreneurs in India, prepare the following documents:
- Udyam Registration (MSME Certificate)
- PAN and Aadhaar of the promoter
- Detailed Project Report (DPR) with cost and revenue projections
- KYC and entity documents (partnership deed, MOA/AOA, etc.)
- Machinery quotations or vendor estimates
- Bank statements / ITR (if required)
- SHG or NGO membership proof (for schemes like TREAD or Mission Shakti)
Proper documentation and a strong business proposal significantly improve approval chances for credit-linked schemes.
Tips to Maximize the Benefits of Government Schemes
- Combine a Central Government scheme (like PMMY or PMEGP) with a State interest subsidy to reduce your effective borrowing cost.
- Pair PMEGP subsidies with industrial policy incentives for maximum financial advantage.
- Connect with District Industries Centres (DICs) for local-level women entrepreneurship programs.
- For tech startups, register on Startup India and your state’s startup portal to access mentoring and grants.
Where things stand today: Women entrepreneurs in India
| Data Point | Value |
|---|---|
| Women-owned MSMEs registered on the Udyam Registration Portal up to 30 Nov 2024 | 2,20,73,675 units |
| Share of women-owned MSMEs among total Udyam registrations (since 1 July 2020) | ~20.5 % |
| Women-owned MSMEs’ share of employment from all Udyam-registered units | ~18.73 % |
| Number of establishments owned by women (6th Economic Census) | 8,050,819 establishments (~13.76 % of total) |
| Number of persons employed in women-owned establishments (6th Economic Census) | 13.48 million (~10.24% of total workers) |
| Estimated number of MSMEs in India with more than 20 % women-ownership | Over 60 million total MSMEs, >20 % women-owned |
| Share of registration of women-owned MSMEs under Udyam & UAP (as per govt reply) | ~39 % (1.84 cr of ~4.78 cr) |
| Percentage of women entrepreneurs in micro units vs small/medium units (women-owned MSMEs) | Micro units ~22%, small ~12%, medium ~7% |
| % of women entrepreneurs with formal training/mentorship (study) | ~14% |
| Estimated employment potential of women-led businesses by 2030 | 150-170 million jobs |
State-Wise Data
| State/UT | Number of Women-Owned MSMEs | Approximate % of Total MSMEs in that State* |
|---|---|---|
| Andhra Pradesh | 1,332,126 | ~53% |
| Bihar | 1,525,287 | ~50% |
| Karnataka | 1,656,845 | ~45% |
| Maharashtra | 2,535,077 | ~35% |
| Gujarat | 912,052 | ~28% |
Disclaimer
The information provided is for general awareness. Eligibility, subsidy amounts, and guidelines are updated periodically. Applicants should verify the latest details on official portals such as myScheme.gov.in, KVIC, MSME, and respective state government websites before applying.
More Government Schemes
- Top 8 Central Government Schemes For Housewives
- Full List Of Karnataka Government Schemes
- Telangana Government Schemes
- Pradhan Mantri Jan Arogya Yojana (PMJAY)
Source: www.startupindia.gov.in/ and Press Release:Press Information Bureau
