India has been making significant strides toward empowering women entrepreneurs, and the government has introduced several loan schemes to support women who wish to start or grow their businesses. These schemes not only provide financial assistance but also aim to create a level playing field in the entrepreneurial ecosystem. In 2025, these initiatives continue to provide women with the resources and support they need to succeed in their ventures. Here are the top 6 government loan schemes available to women entrepreneurs this year:
- Mudra Yojana
The Pradhan Mantri Mudra Yojana (PMMY) is a flagship scheme aimed at providing financial assistance to small business owners, including women entrepreneurs. Under this scheme, women can access loans up to ₹20 lakh without the need for collateral or security. The loan is categorized into three types: Shishu, Kishore, Tarun, and Tarun Plus, depending on the stage of the business. This initiative is designed to make it easier for women entrepreneurs to access funds for starting or scaling their ventures.
- Stand Up India Scheme
Launched by the Ministry of Finance, the Stand Up India Scheme focuses on promoting women, Scheduled Caste (SC), and Scheduled Tribe (ST) entrepreneurs. Under this scheme, loans ranging from ₹10 lakh to ₹1 crore are provided to set up greenfield projects in manufacturing, services, or trading. The scheme aims to encourage at least one woman entrepreneur per bank branch to start a new business, with a minimum of 51% ownership required from the women or SC/ST entrepreneurs in non-individual enterprises.
- Stree Shakti Yojana
The Stree Shakti Yojana was introduced to provide financial assistance to women entrepreneurs who wish to start or expand their businesses. Women seeking loans above ₹2 lakh can benefit from a 0.05% concession on the interest rate, making it more affordable for them to access funds. To be eligible for this scheme, applicants must participate in an Entrepreneurship Development Program (EDP), ensuring they are equipped with the skills necessary to run a successful business.
- Udyogini Scheme
The Udyogini Scheme is another government initiative that focuses on supporting women entrepreneurs, particularly in rural and semi-urban areas. Under this scheme, women can access loans up to ₹1 lakh at lower interest rates compared to traditional lending institutions. Eligibility is based on annual income, with the maximum allowable income set at ₹40,000. This scheme aims to make it easier for women in underprivileged communities to launch and sustain small businesses.
- Annapurna Scheme
The Annapurna Scheme is tailored for women in the food and catering industry. Women entrepreneurs can borrow up to ₹50,000 under this scheme to help them start or expand their catering businesses. The loan can be repaid in 36 installments, but applicants need to provide collateral and approval from a guarantor to qualify for the loan. This scheme supports women who want to enter the food service sector and offers them the financial backing they need to succeed.
The Indian government’s various loan schemes provide women entrepreneurs with the financial tools needed to overcome common barriers to business success. From the Mudra Yojana’s collateral-free loans to the specialized Annapurna Scheme for women in the food industry, these initiatives ensure that women have access to the resources required to thrive. Aspiring women entrepreneurs should explore these schemes in 2025 to find the support they need to start, grow, and sustain their businesses. By taking advantage of these opportunities, women can unlock their potential and contribute significantly to the nation’s economy.
