Launched by the DR. BR Ambedkar Development Corporation, the Prerana scheme aims to encourage and economically empower women from the Scheduled Caste and Scheduled Tribe communities in Karnataka. The scheme seeks to promote the formation of Self Help Groups (SHGs) among women in both urban and rural areas, enabling them to establish productive businesses and generate sustainable income. Under this scheme, financial assistance is extended to an SHG comprising ten women, with a joint account set up for income-generating activities.
Benefits
- Individual Financial Assistance:
Each woman in the SHG receives a sum of Rs. 25,000, which includes:- Subsidy Component: Rs. 15,000
- Loan Component: Rs. 10,000 at an interest rate of 4% per annum
- Group Benefit:
The total financial assistance provided to the SHG is Rs. 2.50 Lakhs. - Income Sharing:
Income generated by the SHG is shared equally among all members, ensuring collective economic prosperity. - Repayment Terms:
The loan, along with interest, must be repaid by the SHG to the corporation in either 36 monthly installments or 12 quarterly installments.
Eligibility
- Community and Residency:
The applicant must belong to the Scheduled Caste or Scheduled Tribe community and be a permanent resident of Karnataka. - Age:
The applicant must be above 21 years of age. - Income Limit:
The family’s annual income should not exceed:- Rs. 1,50,000 for rural applicants
- Rs. 2,00,000 for urban applicants
- SHG Membership:
The applicant must be a member of a Self Help Group that is seeking a self-employment opportunity. - Premises:
The SHG must possess a stall or unit of at least 200 square feet (whether rented, leased, or owned). - Prior Benefit:
Applicants or their family members who have previously availed of any subsidy from the corporation or the Government of Karnataka are ineligible. - Usage of Funds:
The grant and loan provided under the scheme must be used as the primary source of finance for income-generating activities. - Agreement Requirement:
An agreement detailing the business activity, income-sharing plan, and commitment to remain part of the SHG must be submitted.
Exclusions
- The selection of applicants and associations is carried out by a designated committee, and only groups that demonstrate cooperative effort among members and commitment to the scheme’s objectives will be sanctioned.
- If at any stage the selected candidate is found to be ineligible, the sanction from the corporation will be cancelled.
Application Process
Offline
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Obtain the Application Form:
Visit the designated office of the DR. BR Ambedkar Development Corporation to collect the application form. -
Fill Out the Form:
Complete the application form with all the mandatory details, including personal and SHG-related information, and attach the required documents. -
Submit the Application:
Submit the duly filled and signed application form along with all supporting documents to the corporation.
Documents Required
- Passport-sized photograph with the application.
- Certificate confirming Scheduled Caste/Scheduled Tribe status.
- Annual family income certificate.
- Family ration card.
- Voter ID card.
- Aadhaar card.
- Family tree.
- Landless Land Workers Certificate or relevant land ownership document (if applicable).
Frequently Asked Questions
- Who are the beneficiaries?
Beneficiaries are women from the Scheduled Caste and Scheduled Tribe communities who are members of Self Help Groups in Karnataka. - What amount is provided to each individual in the SHG?
Each individual receives Rs. 25,000, which comprises a Rs. 15,000 subsidy and a Rs. 10,000 loan. - What is the total financial assistance provided to the SHG?
The total assistance provided to a self-help group of ten women is Rs. 2.50 Lakhs. - Is there a loan component in this scheme?
Yes, Rs. 10,000 is provided as a loan at an interest rate of 4% per annum. - Who should apply?
Eligible applicants are women over 21 years, belonging to SC/ST communities, residing in Karnataka, with a family income within prescribed limits, and who are members of an SHG. - What is the interest rate on the loan component?
The interest rate is 4% per annum.