Government Policies for Promotion of Entrepreneurship


Entrepreneurship in India has a reputation for being paradoxical and incongruous. In India, entrepreneurs are created to serve as role models and inspire others on how success and innovation can be attained despite fundamental limitations. India's family businesses and entrepreneurial spirit have greatly expanded and changed the country's economy and business environment. Indian women have made great efforts to rise to positions of leadership. They have overcome numerous obstacles, including juggling obligations, having access to business opportunities, managing money, and many others, to become financially independent and hold respected jobs.

Government policies for the Promotion of Entrepreneurship

Many highly educated people leave their nations in pursuit of possibilities abroad since various young people in many countries who graduate from university cannot find jobs in the developing world. "Brain drain"—the emigration of skills—poses a substantial problem compared to the male rate; the jobless rate for women is greater to prevent such situations. The government has implemented policies encouraging entrepreneurship, including benefits and concessions for financial assets at incubation centers.

Atal Incubation Centre (AIC)

AIC is a leading program to advance India's entrepreneurial and innovative culture. It is an umbrella organization tasked with fostering innovation, transforming the nation's entrepreneurial ecosystem, and offering a forum and chances for collaboration with diverse entrepreneurial stakeholders. It creates new policies and programs to stimulate innovation in various economic sectors and provide their incubated start-ups with access to state-of-the-art physical infrastructure, capital equipment, and operating facilities.

Refinancing by NABARD

In the post-Covid era, Nabard established three specific refinance schemes described below to address the issue of rural migration and support agriculture and the rural sector. The plan aims to convert all potential pacs into multi-service centers (MSCs) over three years beginning in 2020 to help pass build high-quality infrastructure capital assets and expand their business portfolio in line with member needs.

To address the issue of rural migration and to assist agriculture and the rural sector in the post-covid period, the schemes aim to encourage banks to lend at concessional rates to beneficiaries in Nabard-supported watershed and wadi project regions, as well as a unique long-term, refinance program to support micro food processing activities. The program aims to persuade banks to provide money for micro-food processing ventures to develop stable job and livelihood options for rural youth and reverse migrants because of the COVID-19 pandemic in those areas.

Coir Udyami Yojana

The program's primary goal, which the Ministry of MSME oversees, is to promote the sustainable growth of the copra industry. Establishing coir units with project costs up to Rs 10 lakh plus one cycle of working capital, which may be at most 25 percent of the project cost, is eligible for this credit. -related subsidy program Self-help groups, businesses, non-profit organizations, and institutions covered by the Society Registration Act of 1860, including cooperative societies, joint liability groups, and charitable trusts, are all eligible.

MUDRA Loans

The Mudra Yojana PMY program aims to provide loans of up to 10 lakh rupees to non-corporate, non-farm small and micro enterprises; these loans are classified as Mudra loans, according to PMY. Commercial banks These loans are made available by RRBs, small finance banks, cooperative banks, MFIS, and NBFCs. Three products, Shishu, Kishore, and Tarun, were developed by Mudra under the auspices of PMI to denote the degree of development and financial requirements of the beneficiary microunit or entrepreneur to serve as a benchmark for the next stage of graduation or growth.

MSME Market Development Program

The MSME-MDA program has been announced as part of a comprehensive policy package for MSMEs to strengthen the participation of representatives of participating units. The MSME-MDA scheme provision has recently undergone modification. MDA is available in the following three formats: 1 international exhibition participation for DIIC-registered small and micro manufacturing businesses, financial support for barcoding that adheres to global standards GS1 3 acknowledged the value of barcoding and accessed financial aid through the office of the DC MSE.

Policies for Women Entrepreneurs

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Mudra Yojana Scheme

Women from all areas of life can apply for loans under the Mahila Loan Yojana, a program specifically created for aspiring female entrepreneurs. However, they must fulfill a specific set of requirements to qualify. Many loans are available to female entrepreneurs running production and manufacturing companies, and examples include crafters, weavers, and artisans. These loans are available to female entrepreneurs who want to launch, grow, or modernize companies that provide services, including tailoring, phone repair, photocopying, auto repair, servicing centers, beauty salons, and more.

The Women's Entrepreneurship Platform

It provides a supportive environment for aspiring and established women entrepreneurs nationwide. Niti Aayog has launched the women's entrepreneurship platform. Wep, Sidbi, and Niti Aayog have teamed up to support this program. We are founded on the three pillars of Iccha Shakti, Gyaan Shakti, and Karma Shakti as an enabling foundation. Iccha Shakti stands for encouraging aspiring businesspeople to launch their ventures. Gyaan Shakti stands for educating women entrepreneurs and supporting their ecosystem so they can grow their businesses. Karma Shakti stands for offering practical assistance to business owners as they launch and expand their enterprises.

Stree Shakthi Package

Under the Stree Shakthi Package, loans are available for businesses run by women entrepreneurs. The MSME Department of India's suggested definition will be applied to identify women entrepreneurs and enterprises. A women-owned business is described as a small-scale industrial unit, industry-related service, or business enterprise managed by one or more women entrepreneurs in proprietary concerns or in which they, individually or jointly, have a share capital of not less than $51 as partners. Shareholders and directors of private limited company members of cooperative societies

Conclusion

Many people do not get into entrepreneurship due to a lack of funds. The government has launched many schemes to tackle this problem, like Mudra loans, Coor Udyami Yojana, and many more. The government wants more youth to join this mission to help the nation progress. Women have been making their mark in every field. Women face more problems than their male competitors, and to tackle this, the government has given them special aid with financial benefits to even professions like beauticians and others.

Updated on: 05-Apr-2023

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