Loan Based Schemes For Safai Karamchari - Swachhta Udyami Yojana – Swachhta Se Sampannta Ki Aur
Swachhta Udyami Yojana by NSKFDC provides safai karamcharis, wastepickers, and manual scavengers with loans up to ₹50 lakh at just 4% interest to buy sanitation vehicles (e-rikshaws, garbage vehicles) or run any income-generating business. Women get an extra 1% interest rebate.
About This Scheme
Swachhta Udyami Yojana by NSKFDC provides safai karamcharis, wastepickers, and manual scavengers with loans up to ₹50 lakh at just 4% interest to buy sanitation vehicles (e-rikshaws, garbage vehicles) or run any income-generating business. Women get an extra 1% interest rebate.
Full official description
A general term loan scheme by the Ministry of Social justice and Empowerment for Safai Karamchari, Manual Scavengers, and their dependants aged 18 years and above for procurement of sanitation-related vehicles.
Under this scheme, term loans are extended through State Channelising Agencies (SCA), Regional Rural Banks(RRBs), and Nationalised Banks to the target group.
Unit Cost
Upto 5 Lacs
Capital Subsidy:
50 % of the unit Cost
Unit Cost
5 to 10 Lacs
Capital Subsidy:
2 Lacs + 25 % of the unit Cost between Rs 5 -10 lac maximum upto 3.25 Lacs
Unit Cost
10 - 15 Lacs
Capital Subsidy
3.25 Lacs
Note
There will be no beneficiary contribution and the balance amount other than the capital subsidy will be provided as loan under SUY.
Benefits
- Loan up to: ₹50,00,000
- Interest rate: 4% per annum
- Women rebate: Additional 1% off (effective 3%)
- Timely repayment rebate: 0.5% off interest
- Purpose: Sanitation vehicles (e-rikshaws, garbage vans), recycling, any income-generating work
Who Can Apply (Eligibility)
Safai karamchari, wastepicker, or manual scavenger (or their dependant), aged 18+, residing in India. Must use the loan for sanitation-related vehicles or income-generating activities.
Exclusions
Domestic Workers are not eligible for the scheme.
How to Apply
Loan applications are submitted by the applicants to the district offices of SCAs of NSKFDC of RRBs and Nationalised Banks. These applications are then sent to the head offices where the project proposal is appraised by SCA/RRBs/Nationalised Banks and the projects are sent back to NSKFDC along with recommendations. The Project Appraisal Committee of NSKFDC then appraises the proposals and after finding them in order places it in front of their board of directors for their approval. Once the board of directors approves the project, the letter of sanction is issued by SCAs/ RRBs/Nationalised Banks. Once all the terms and conditions have been accepted, the necessary documents and funds are then released to the concerned beneficiaries. NSKFDC released the funds with the receipt of demand being made from the SCAs/ RRBs/Nationalised Banks after taking into consideration all the parameters of release as per the Lending Policies & Guidelines (LPG) of NSKFDC
Interested eligible person shall contact nearest Channeling Agency (https://nskfdc.nic.in/en/content/home/list-channelizing-agencies)
Frequently Asked Questions
What is moratorium period?
A moratorium period refers to a particular period of a loan tenure during which the borrower does not have repay anything. It can be described as a waiting period before the borrower will have to start paying the equated monthly installments (EMIs) for his or her loan
Does the scheme provide loans to all Unorganized Workers persons?
No, the scheme provides loans only to Safai Karamchari, Manual Scavengers and their dependants
How does the scheme provide assistance?
Under this scheme, term loans are extended through State Channelising Agencies (SCA), Regional Rural Banks(RRBs) and Nationalised Banks to the target group.
Is there any income limit for the scheme?
The Scheme Guidelines do not mention any income limit. However, other things being equal, NSKFDC accords priority to economic development and rehabilitation of:- i) Manual Scavengers and amongst scavengers those scavengers whose income is below double the poverty line; ii) Women from among the target group and iii) Disabled persons among the target group. * Financial viability, income generating capacity of the project etc. are considered while evaluating the projects for financing.
I am a Domestic Worker, am I eligible for the scheme?
No, You are not eligible.
I am a Waste Picker, am I eligible for the scheme?
Yes, You are eligible.
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- Indicative Documents
- Pan Card
- Work Assurance Letter
- Work report
- Address Proof
- 3 Quotation of Equipments
- Occupation Certificate