• UP provides interest-free loans to women under SHGs to purchase vehicles, make income

    National
    UP provides interest-free loans to women under SHGs to purchase vehicles, make income

    Uttar Pradesh: The government of Uttar Pradesh issues interest-free loans for women under self-help groups for buying vehicles and managing income for their families. 





    The interest-free loans for women are a way to provide financial aid for those families who are suffering hard to survive amid pandemic due to low income.





    “The target is to provide 400 vehicles – goods/passenger carriers, mini four-wheelers, and e-rickshaws. SHGs across the state have already purchased 265 vehicles under the scheme,” stated Bhanu Chandra Goswami, managing director, Uttar Pradesh State Rural Livelihood Mission (UPSRLM).





    So many SHGs are utilizing these vehicles to get profit by selling food under the government’s nutrition scheme.





    The Uttar Pradesh State Rural Livelihood Mission has been granted a gold medal for this mission, a government spokesperson stated. As of now, around ₹18 cr has been provided to members of chosen SHGs under AGEY. 





    Under the scheme, a maximum of ₹6.5 lakh without any interest can be given for a four-wheel vehicle and a maximum of ₹1.5 lakh for an e-rickshaw.





    A recipient is mandated to repay the loan amount in 72 installments in six years and it is up to her to force the vehicle herself or choose a driver.





    The present scheme gets expanded to another SHG member once a beneficiary returns the loan sum.





    If you want to apply for the scheme, it is important that the beneficiary of the group has been linked with the mission for at least two years and has earned the compensation of other principal reserves from the mission.