Govt launches startup programme in 14 states to boost rural economy

Seeking to give a boost to rural economy, government has rolled out a 'Start-Up' programme in 40 blocks across 14 states to train and support 1.82 lakh entrepreneurs over a period of four years with an estimated cost of Rs 484 crore.

"The Start-Up Village Enterpreneurship Programme, a sub scheme under the National Rural Livelihood Mission (SVEP) is being implemented through states to promote to start-up enterprises in rural areas. SVEP supports the rural start-up entrepreneurs by training them to choose the right enterprise to start and run it, making available loans thorugh Self Help Groups for starting the enterprise and subsequently linking them to banks for additional funds for expansion and supporting them for the initial six months of its business to ensure sustainability of the enterprise," Rural Development Minister Birender Singh told the Rajya Sabha in reply to questions.

As per the provisions, the states initially carry out a baseline and market potential study of the blocks through approved Programme Implementing Agency for providing support to the start-ups, handholding and accessing finance to the entrepreneurs. The programme was announced in the 2014 Budget. Of the 17 states which evinced interest in the scheme, 14 were accorded approval where the scheme began last month in 40 blocks.

Singh said the states were asked to identify what kind of enterpreneurship they require. The entrepreneurs will later also be linked with Centre's ambitious MUDRA programme to make their ventures sustainable, he said.

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