1Name of the scheme“YSR Cheyutha”
2Objectives of the scheme
  • It is one of the prominent women welfare schemes of Govt of AP, where in a subsidy (Financial Assistance by Govt) of Rs 75,000(in four yearly tranches) will be provided to approximately 25 lakhs women beneficiaries. First tranche of amount already released by Govt of AP to all eligible beneficiaries.
  • To create access to enhanced lively hood opportunities, Income generation, and wealth creation at house hold level on sustainable basis leading to better standard of living.
  • Govt aims to channelize this fund into sustained and long-term advantage by encouraging “Enterprising ” among the scheme beneficiaries.
3Target Group & Eligibility
  • Beneficiaries, who are in the age group of 45-56 years, belonging to SC/ST/BC/MINORITY Communities are eligible for this scheme. (Subjected to meeting other criteria as per Govt of AP GO No 636 date 12.06.2020, which is enclosed).
  • Bank finance to be extended from list of eligible borrowers as per the Bank norms.
4Identification of Beneficiariesby SERP/MEPMA Govt of AP.
5Facility TypeTerm loan/ Working Capital (Depending upon Nature of t activity and as per the convenience of beneficiary and Bank)
6Scheme TypePMMY (Prime Minister Mudra Yojaya)
7Purpose of the Loan.
  • Any income generating activity under Agricultural Allied, Retail and MSME.
  • Beneficiaries are at their liberty to choose the income generating activity according to their skill, interest and potentiality.
  • Loan may be considered to sanction for green field activity or existing activity depending upon need
8Loan amount (Rs)Maximum 56,250/ (Fifty-Six Thousand and two hundred fifty)
  • 25 % on the unit cost.
  • (Amount received under first tranche of the scheme may be considered as self-margin)
10Rate of IntersAs per Financing Bank’s guidelines.
  • Term Loans: 48 Monthly instalments including maximum moratorium of 06 (six) months
  • Working Capital: As per the respective Banks approved policy norms.
  • GoAP would provide directly a yearly financial assistance of Rs 18,750/- for further three years for each beneficiary. This amount can be utilized towards repayments of principal amount of loan over a period of 3 years or can be utilized for development of business in case of regular repayment of the loan amount.
12Moratorium Period3 to 6 months (As the beneficiaries are first generation weaker section entrepreneurs and requires time to establish)
13Co – Obligation/Guaran tynil
14Primary SecurityHypothecation of assets created out of Bank finance.
15Collateral Security
  • Nil
  • (To cover under CGFMU/CGTMSE in all eligible cases)
  • Shall be obtained as per individual Bank’s approved Loan documentation policy.
  • (Banks shall accept the simplified application designed by MEPMA department for preliminary scrutiny.)
17Other ChargesApplicable as per individual Bank loan policy guidelines
18InsuranceApplicable as per individual Bank loan policy guidelines.
19Mode of disbursementDisbursement based on the activity. For Retail Trade activity (In Rupees)
1For procuring Furniture/EquipmentUp to 15,000
2For local stock procurementUp to 20,000
3Direct payment to Tied up suppliersUp to 40,000

For 1 & 2, the loan may be disbursed to the credit to the beneficiary 515 account based on her declaration and supplier Bills / Receipts to be kept on record.
20Role of Village/Ward Volunteer and Village/ward Secretariat staff /SERP /MEPMA staff.
  • The VV/WV/VS/WS staff shall bring awareness among the beneficiaries about the scheme with the help of SERP and help the banks in application mobilization, documentation as well as follow up and recovery.
  • Banks shall share the details of borrowers periodically to VS/WS/SERP/MEPMA staff for the purpose of recovery.
21Other Information
  • The scheme was launched on August 12,2020, by Hon’ble Chief Minister of Andhra Pradesh.
  • GoAP aims to channelize this fund into sustained and long-term advantage by encouraging “Enterprising” among the scheme beneficiaries. GoAP would handhold the scheme by providing technical support, forward and backward linkages, marketing, support etc. As such GoAP has entered MOU with reputed companies like AMUL, Hindustan Unilever, ItC Ltd and Protector and Gamble.
According to the GoAP, majority of the members are involved in Agricultural allied and MSME activities, which can be considered under priority sector lending. Banks can view the proposed scheme with a business prospective.
  • SERP (Society for Elimination of Poverty), GoAP will provide all requisite inputs to the beneficiaries, provide handholding support and help banks in providing required finance to the beneficiaries.
  • Banks shall treat the financial assistance under the scheme as separate one and not to link with their existing SHG limits.