In a significant step toward empowering women, Odisha Chief Minister Mohan Majhi has approved the continuation of the zero-interest loan scheme for Women Self-Help Groups (SHGs) across the state.
What’s the Scheme About?
This zero-interest loan scheme allows women SHGs to borrow up to ₹10 lakh from banks without paying any interest. The government covers the interest through interest subvention, meaning SHGs only repay the principal amount.
Initially, this interest-free benefit was available only till March 31, 2025, but with the CM’s new decision, it will now continue into 2025–26 and beyond.
Why It Matters: Empowering ‘Lakhpati Didis’
Chief Minister Majhi emphasized that the scheme is aimed at creating more ‘Lakhpati Didis’—a term that refers to women entrepreneurs who earn at least ₹1 lakh annually. By providing access to cheap, risk-free capital, the government hopes to:
- Encourage rural and urban women to start or expand small businesses
- Strengthen Odisha’s local economy
- Boost women’s financial independence and decision-making power
Background: The Evolution of the Scheme
Let’s take a quick look at how this initiative has grown over the years:
- 2019: The scheme was first introduced by former CM Naveen Patnaik under the Mission Shakti program, offering zero-interest loans up to ₹3 lakh.
- 2022: The loan cap was increased to ₹5 lakh.
- 2024: The ceiling was further raised to ₹10 lakh, a move welcomed by thousands of SHGs across Odisha.
Now, with Majhi’s approval, this interest waiver will remain in effect for the long term, ensuring continuous support for women’s entrepreneurship.
The Bigger Picture: Women Leading Odisha’s Growth
This decision isn’t just about loans—it’s about shaping the future of Odisha by:
- Empowering women-led households
- Promoting inclusive economic development
- Supporting the growth of micro-enterprises, especially in villages and small towns
This move complements national goals like the ‘Lakhpati Didi’ campaign and aligns with Odisha’s efforts to become a model state for gender-driven development.
Key Highlights
| Feature | Details |
|---|---|
| Loan Amount | Up to ₹10 lakh |
| Interest Rate | 0% (Interest borne by Govt.) |
| Eligibility | Registered Women SHGs in Odisha |
| Validity | Extended beyond March 31, 2025 |
| Objective | Empower women, build micro-businesses, boost rural economy |
