Launched in 1997-98 and revised in 2004-05, the Udyogini Scheme is a flagship women-centric self-employment initiative by the Government of Karnataka. Implemented through the Karnataka State Women’s Development Corporation (KSWDC), the scheme aims to promote economic independence among women by facilitating access to subsidized loans for launching micro-enterprises in the trade and service sectors.
The scheme particularly targets economically weaker women, including those from SC/ST, widows, and differently-abled categories, offering them an opportunity to become self-reliant entrepreneurs through formal credit systems and structured business support.
Key Highlights of the Scheme
• Scheme Name: Udyogini Scheme
• Launched By: Government of Karnataka
• Implementing Body: Karnataka State Women’s Development Corporation (KSWDC)
• Target Group: Women (SC/ST/General/Special Categories, Widows, Disabled)
• Loan Limit: Up to ₹3,00,000
• Subsidy: Up to 50% or ₹90,000, depending on the category
• Family Income Limit: ₹1.5 lakh (no limit for widows/disabled)
• Application Mode: Online/Offline
• Official Website: https://kswdc.karnataka.gov.in
Benefits
• Loan Amount:
• Minimum ₹1,00,000 – Maximum ₹3,00,000 for SC/ST women
• Up to ₹3,00,000 for General and Special Category women
• Subsidy Structure:
• SC/ST: 50% subsidy (up to ₹1.5 lakhs), income below ₹2,00,000/year
• Special Category & General: 30% subsidy or maximum ₹90,000
• Widows/Disabled: No income limit, higher preference
• Training Support: Selected beneficiaries receive Entrepreneurship Development Program (EDP) training
• Business Activities Covered:
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Jam, jelly, and papad manufacturing
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Tailoring, saree & embroidery work
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Chalk/crayon production, wool weaving, bookbinding
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Dyeing, printing, and other viable service/trade activities
Eligibility Criteria
• Gender: Only women applicants are eligible
• Age: Between 18 to 55 years
• Family Income:
• Less than ₹1,50,000 for General and Special categories
• No income limit for widows and disabled women
• Residency: Must be a permanent resident of Karnataka
• Loan Default: Must not be a defaulter with any financial institution
Reservation and Priority
• Special preference is given to:
• Widows
• Physically challenged women
• Destitute or extremely poor women
• Women with prior vocational/skill training (e.g., by KSWDC, Stree Shakti/Swashakthi)
• 10% of annual targets are reserved for members of Swashakthi/Stree Shakthi groups
How to Apply – Online/ Offline Process
Offline Method:
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Collect the application form from the nearest Deputy Director/CDPO office or KSWDC.
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Alternatively, download it from https://kswdc.karnataka.gov.in or the respective bank’s website.
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Fill the form and attach the necessary documents.
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Submit it to the nearest bank/KSFC branch.
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The bank evaluates the project and sends a request for subsidy release to KSWDC.
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Upon approval, the loan is disbursed either directly to the applicant or to the supplier for capital goods.
Online Method:
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Visit the official KSWDC portal or bank website offering Udyogini loans.
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Register and complete the online application.
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Upload all necessary documents and submit.
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Track application status online and respond to bank calls for verification.
Necessary Documents for Application
• 3 passport-size photographs
• Proof of training/experience (related to business activity)
• Detailed Project Report (DPR)
• Ration Card / Voter ID
• Annual family income certificate
• Caste certificate (SC/ST applicants)
• Quotations for machinery, equipment, or other capital items
Frequently Asked Questions (FAQs)
Q: What is the Udyogini Scheme in Karnataka?
A state government scheme offering subsidized loans to women for starting businesses in trade and service sectors.
Q: Who is eligible for the scheme?
Women aged 18–55, permanent residents of Karnataka with income below ₹1.5 lakh (no limit for widows/disabled).
Q: What is the maximum loan amount?
Up to ₹3,00,000 depending on category.
Q: Is there a subsidy?
Yes, 30–50% subsidy, depending on category, with a cap of ₹90,000 for general/special category.
Q: What businesses are supported?
Manufacturing, tailoring, food production, dyeing, and other micro enterprises.
Q: What is the interest rate and repayment period?
Subject to the bank’s terms. Subsidy reduces the overall financial burden.
Q: Can urban women apply?
Yes, women from both urban and rural areas are eligible.
Q: Can existing loan holders apply?
Not if already a defaulter or if the loan is still active under a similar scheme.
Q: Is EDP training mandatory?
Yes, selected beneficiaries must undergo Entrepreneurship Development Training.
Q: How long does a loan sanction take?
Time varies based on bank verification, project viability, and subsidy release—usually a few weeks to a few months.
References & Useful Links
• Official Website: Click Here
• Karnataka State Women’s Development Corporation
• Scheme Guidelines and Departmental Reports
