Mahila Samridhi Yojana (MSY)

The Mahila Samridhi Yojana (MSY) is an initiative run by Ministry of Social Justice & Empowerment (MSJE), Government of India, acting through two major corporations National Safai Karamcharis Finance & Development Corporation (NSKFDC) & National Backward Classes Finance & Development Corporation (NBCFDC). In States the scheme is being implemented through State Channelizing Agencies (SCAs). 

Highlights

• Soft loans for income generation & self employment 
• Govt provides 90% to 95% of loan cost and offers interest rebates 
• Target us upliftment of women from economically weaker sections or specific communities (SC/ST/OBC/Charmakar, Safai Karamcharis, etc).

What is MSY ?

• The scheme provides financial assistance through SCA, Regional Rural Banks (RRBs), Nationalized Banks, Self Help Groups (SHG) to women for income generation and self employment
• The scheme provides soft loan to underprivileged and marginalised women such as SC/ST, Safai Karamcharis and  Backward Classes
• The scheme covers up to 90–95% of the project cost as a loan, with interest rebates and a moratorium period
• The scheme also includes support for skills development and livelihood enhancement.

Objectives of the Scheme

• To empower and uplift economically and socially marginalized women.
• To facilitate self-reliance through self-employment, micro-enterprise, and financial literacy.
• To break caste, gender, and economic barriers by making credit and skills accessible for sustainable livelihoods

Benefits of the Scheme

• Soft Loan Facility 
  Subsidized loans up to ₹1,00,000–1,25,000 (depending on channel/region); interest rate usually 2–6% per annum, repayable in 3 years
• Enhances SHG capability 
  SHGs may receive group-based higher lending limits and support
• Flexible repayment facility 
  Moratorium (repayment holiday) post-implementation for ease of repayment.
• Inclusive Growth 
  Vocational skills training, Financial literacy and self-employment guidance to backward communities 

Financial Assistance Under the Scheme

Eligibility for the Scheme

You are eligible if:

• You are woman aged between 18 to 60 ( may vary in States)
• You belong to backward class, safai karamcharis/Charmakar/SC/ST/OBC (specific schemes)

You are not eligible if:

• You are a man
• You are a woman employed in govt jobs or availing similar benefits from other schemes

Documents Required for the Scheme

• Aadhaar, PAN & Bank Details
• Income Certificate 
• Caste Certificate 

Application Process for the Scheme

You can apply:

• Online via National Safai Karamcharis Finance & Development Corporation (NSKFDC) 
• Offline via District Offices of State Channelizing Agencies (SCAs)

Examples of Where The Scheme Can Be Used

• A tailor in Delhi from a BPL family receives ₹2,500 monthly and uses it to buy a sewing machine, boosting her income and supporting her daughter’s school fees.
• A woman from the Charmakar community in Maharashtra takes a ₹50,000 loan at 4% interest to start a leather goods micro-unit, repaying profitably over 3 years.
• A group of Safai Karamchari women access ₹1 lakh loan through NSKFDC, establish a cleaning services business, and also attend skill training workshops with a stipend.