Govt clears decks for implementation of the Deen Dayal Upadhyay Bunkar Yojna

Itanagar

Arunachal Pradesh Government under the leadership of Chief Minister Pema Khandu has cleared the decks for implementation of the Deen Dayal Upadhyay Bunkar Yojna with a notification issued in this regard by the state Finance Department.

In the budget presentation in March this year – the first by the BJP Government – Deputy Chief Minister Chowna Mein, who also holds the Finance portfolio, had told the Assembly that the state government proposed to provide interest subsidy of 7% on working capital loan up to Rs 2 lakh irrespective of the quantum of loan extended to women weavers by the bank.

The scheme to encourage women weavers across the state to access affordable credit from banks for working capital requirements has been now officially notified and all set for implementation.

As per the scheme, 7% interest subvention will be offered on all short term credit, cash credit limit, working capital limit, weavers credit card and swarojgar credit card availed by women weavers of the state. This will be applicable for loans availed from commercial banks as well as regional rural banks on or after 1st April, 2017 and disbursed during current financial year.

Interest subvention will be calculated on the short term loan amount from the date of its disbursement up to the date of actual repayment of the loan by weavers or up to the date of the loans fixed by the banks, whichever is earlier, subject to maximum period of one year.

The loan application under the scheme, covering all categories of women weavers, irrespective of unit size or number of looms, will be forwarded through circle officers, who will certify that the applicant is in possession of working looms. Only individual women weaver or group of women weavers will be eligible for the scheme and not companies or partnership firms.

Further, the benefit of the scheme will not be applicable to term loans and other loans extended by banks to weavers.

A target of 3000 women weavers have been fixed for this financial year and the bank wise and district wise targets are being formalized. In order to fix responsibilities on banks to fulfil their given targets, defaulting banks will be reported to RBI.

NABARD will act as channel partner for reimbursement of interest subvention to banks which has to be claimed by the banks in prescribed format.

Directives have been issued by the Government for all deputy commissioners and banks to make all out efforts for wide publicity of the scheme and the circle officers to educate women self-help groups and individual weavers for timely repayment.

The scheme once implemented will empower rural women and provide sustainable livelihood to thousands of women engaged in traditional weaving but have been discouraged in recent times for want of proper support.