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Stree Shakti Scheme 2024 - An Overview

Updated on July 17, 2024 , 71858 views

Women entrepreneurs in the country have increased since the inception of various public and private sector initiatives. Women can now access safe financial assistance with various banks and financial institutions.

Stree Shakti Scheme

One such initiative to help women move ahead with their goals is the Stree Shakti Scheme for businesswomen.

What is Stree Shakti Scheme?

Stree Shakti Scheme is an initiative by the State Bank of India (SBI). This scheme is uniquely tailored for the women who wish to become entrepreneurs or are wanting to expand their existing business. Women who are entrepreneurs or have a shared Capital of not less than 51% as partners /shareholders /directors of a private limited company or members of co-operative society can apply for this business loan.

Stree Shakti Scheme Loan Details

The State Bank of India’s (SBI) interest rate will depend on the prevailing rate of interest at the time of approval and also on the applicant’s business profile.

There is a rate concession of 0.5% in case of loan amount exceeding Rs. 2 lakhs.

Feature Description
Loan Amount for Retail Traders Rs. 50,000 to Rs. 2 lakhs
Loan amount for Business Enterprises Rs. 50,000 to Rs. 2 lakhs
Loan amount for Professionals Rs. 50,000 to Rs. 25 lakhs
Loan amount for SSI Rs. 50,000 to Rs. 25 lakhs
Interest Rate Depends on the prevailing rate of interest at the time of application and applicant’s business profile
Share capital owned by women 50%
Collateral requirement Not required for loans up to Rs. 5 lakhs

Interest Rates

The interest rates vary according to the amount one borrows. The margin will be lowered by 5% as applicable to separate categories.

Loans above Rs. 2 Lakhs

The interest rate for women who borrow above Rs. 2 lakhs is lowered by 0.5% on the existing interest rate. No specific security is required for loans up to Rs. 5 lakhs in case of tiny sector units. A special concession in the margin by 5%.

Criteria for Relaxation

The State Bank of India (SBI) provides reduction and concession when it comes to margins with optimal floating interest which are linked to the bank’s base rate. This will provide economic incentives to women entrepreneurs. For instance, the margin will be lowered by even 5% in certain categories. But there is no concession when it comes to interest offered on loan advance to retail traders.

Eligibility for Stree Shakti Scheme

The Stree Shakti Scheme requires the following to be eligible:

1. Occupation

Women involved in retail, Manufacturing, service activities are eligible for the loan. Self-employed women like architects, Chartered Accountants (CAs), doctors, etc., are also eligible for the loan.

2. Business Ownership

The loan is provided for businesses that are solely held by women or at least have more than 50% stake.

3. EDP

It is required that the applicants are a part of or at least are pursuing the Entrepreneurship Development Programmes (EDP) organised by state agencies to avail loan under this scheme.

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Loans under Stree Shakti Scheme is only for women involved in the business. This loan can be availed for boosting working capital or to purchase equipment for day-to-day trade.

Following are the popular fields that attract loan applications under the scheme.

Clothing sector

Women dealing in the manufacturing of the readymade clothing sector usually apply for loans under the Stree Shakti Scheme.

Dairy sector

Women dealing with dairy products like milk, eggs, etc apply for loans under the Stree Shakti Loan scheme.

Farm products

Women dealing with farm products like seeds, etc apply for a loan under this scheme.

Home products

Women dealing with unbranded soaps and detergents apply for a loan under the scheme.

Cottage Industries

Women involved with cottage industries like the manufacturing of spices and incense sticks can apply for a loan under the scheme.

Required Documents for Application under Stree Shakti Scheme

Following documents are required while applying for a loan under the scheme.

1. Identity Proof

2. Address Proof

  • Telephone bill
  • Property tax Receipt
  • Electricity bill
  • Voter’s ID card
  • Company registration certificate
  • Company partnership registration certificate (in case of partnership firms)

3. Income Proof

4. Business Plan

  • Business plan with projected financials for at least 2years in case of working capital
  • Profile of business enterprise
  • Promoter’s name
  • Directors’ names
  • Partners’ name
  • Business type
  • Business facilities and premises
  • Shareholding ratios
  • Lease agreements’ copy
  • Ownership title deeds

Note: Other additional documents as mentioned on spot by SBI based on the application and sole discretion.


Stree Shakti Scheme Loan is a great option for women seeking financial assistance with their business. Read all the scheme related documents carefully before applying for the loan. Make sure to have a healthy Credit Score since it will be useful in gaining a low rate of interest and also goodwill.


1. Why was the Stree Shakti Scheme introduced?

A: The State Bank of India introduced the Stree Shakti Scheme to help women entrepreneurs in India to receive subsidized loans and help them achieve their entrepreneurial goals. It is a scheme designed to help women become self-reliant and also to help them save more.

2. What is the main objective of the Scheme?

A: The Stree Shakti Scheme's primary objective is to aid in the economic development of the women of rural India. This will help create a conducive environment for social change in India.

3. Who avail the primary benefits of the Stree Shakti Scheme?

A: The Stree Shakti Scheme's primary benefits can be availed by women who want to gain access to credit financing. This is inclusive of women who are self-employed and women involved in business enterprises in the capacity of partners. However, they have to be 51% shareholders in the business organization.

4. Does the Stree Shakti Scheme offer any income-generating opportunity?

A: The scheme is designed to help women become self-reliant. Although it is primarily a scheme designed to help women get loans easily and at subsidized rates, its primary objective is to help women become independent. Hence, indirectly it offers income-generating opportunities to women.

5. What is the maximum loan amount offered under the scheme?

A: Under the scheme, you can get loans up to Rs. 20 lakh for industrial sectors such as housing, retail, and education. The ceiling limit for micro-credit finance is Rs. 50,000. The loans in both cases are offered without charging any processing fees and banks usually offer a 0.5% rebate on the loans.

6. What are the sectors that are covered under the scheme?

A: Under the scheme, various sectors such as agriculture and allied activities, retail trade, microcredit, education, housing, and small scale manufacturing are covered. Women involved in these activities can apply for loans under the Stree Shakti Scheme.

7. What is the loan term for the Stree Shakti Scheme?

A: The loan terms will vary depending on the loan amount and the reason the loan has been taken.

8. What is the interest rate for the loans?

A: The loans' interest rates will be 0.25% below the base rates for loans where the women applicant is the majority shareholder of the business enterprise.

9. Are there any age criteria for the Stree Shakti Scheme?

A: Yes, the women applicants' age should not be less than 18 years and not more than 65 years old.

10. What are the documents required to apply for the loan?

A: You will have to provide a self-attested and self-written business plan. Along with that, you will have to provide identification documents such as PAN card, Aadhar card, income certificate, business address proof, and bank statement of the last six months. You will also have to provide any specific documents as required by the financial institution disbursing the loan.

All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.
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