BC EWS Subsidy Loan: Good news for BC, EWS communities – applications for subsidized self-employment loans soon

BC EWS Subsidy Loan: AP Government has taken an important decision to economically strengthen the weaker sections of BC and EWS. The government has taken steps to provide self-employment loans to those categories of poor. The budget for the year 2024-25 has allocated Rs 896 crore for BC categories and Rs 384 crore for EWS to provide loans at concessional rates. The authorities have already prepared guidelines for the implementation of this scheme. Applications will be received from eligible candidates within a week.

This year, loans will be provided to 1.30 lakh BCs and 59 thousand EWS under the Self-Employment Subsidized Loan Scheme. However, the loan will be given on a concessional basis without the beneficiary’s share. In the past, the government provided loans at concessional rates if beneficiaries contributed some amount. As per the latest guidelines, the unit can be set up without the beneficiary’s share. The government will provide subsidy and the remaining amount will be provided by the government in the form of loan from banks. Geotagging of self-employed units will be done for effective implementation of this scheme. After the application, the officials will investigate at the district level for consideration.

application soon

BC, EWS will soon invite applications for self-employment loans. A web portal called Online Beneficiary Monitoring and Management System (OBMMS) has been designed to receive online applications. Eligible candidates can apply online themselves. The beneficiaries will be selected by the MPDO/City Commissioners with the help of village and ward secretariat staff. If they are found ineligible during the scrutiny of applications, they will be given a chance in their place.

The selection process will be done at MPDO/Municipal Commissioner offices instead of visiting banks for applications and documentation. As soon as the documents related to the formation of the unit are deposited in the bank, the government will deposit the subsidy amount of the beneficiaries in the banks. After that the amount of concession and bank loan will be deposited in the beneficiary’s account. After the units are approved, programs are organized at the constituency level and distributed to the beneficiaries. The beneficiaries monitor the repayment of the loan to one of the employees of the village and ward secretariat.

People aged 21 to 60 who are below the poverty line can apply for self-employment subsidized loans. Loans are provided to set up mini dairy units, sheep and goat rearing, medara, potters, Salihana families, carpenters, generic medicine shops.