Are you looking for micro finance?

This scheme envisages credit to the poorest amongst the poor through SCAs/NGOs and network of Self Help Groups (SHGs).

Are you looking for micro finance?

The National Minorities Development & Finance Corporation (NMDFC):

Through a network of self-help groups (SHGs), NGOs, and SCAs, this scheme aims to provide credit to the lowest among the poor. It is an unofficial loan scheme that ensures prompt delivery of loans to recipients' doorsteps.

Scheme Benefits & Highlights:

Through SCAs/NGOs and a network of self-help groups, this scheme  seeks to provide credit to the most vulnerable members of the poor (SHGs). It is an unofficial loan scheme that guarantees prompt loan delivery to beneficiaries' doorsteps.

Small loans up to a maximum of INR 1.5 lacs per SHG member are made available under this scheme through NGOs and SHGs. The SCAs and NGOs both carry out the scheme's implementation.

The repayment period under the scheme is maximum of 36 months (3 Years).

  • Rate of Interest for NGOs by NMDFC directly- 1% pa
  • Repayment period for the SCAs/NGOs- 4 years / 3 years
  • Utilization Period for the SCAs /NGOs- 3 Months/ 1 Month
  • Means of Financing NMDFC: SCA : Beneficiary Contribution- 90: 5 : 5


Applicable for Self Help Groups/NGOs

Required Documents and Proof:

This scheme is supported by the State Channelizing Agencies (SCAs) designated by the appropriate State/UT Government. Each Channelizing Agency typically has a district-level office where the beneficiary must submit a formal application.

The recipients should get in touch with their relevant SCA (state-specific SCA contact information is provided in the document below), and the SCA will link the loan account to the Aadhar Card (though other biometric identification proof will also work).

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