The Gujarat government has extended subsidy assistance of over Rs 1,243 crore to more than 1.42 lakh beneficiaries under the ‘Shri Vajpayee Bankable Yojana’ between 2021 and 2025, according to official data released on Thursday. The scheme is aimed at encouraging self-employment among unemployed youth across both rural and urban areas of the state. Officials said the initiative is designed to strengthen grassroots entrepreneurship through bank-linked financial support.

For the financial year 2025–26 alone, the scheme disbursed subsidy assistance worth Rs 466 crore to 47,462 beneficiaries. The programme supports young entrepreneurs in setting up businesses across industrial, service, and trading sectors by combining bank loans with government-backed subsidies. Authorities said this model is intended to reduce financial barriers for first-time entrepreneurs and promote sustainable income generation.

Under the revised structure of the scheme, the Gujarat government has increased the maximum loan limit from Rs 8 lakh to Rs 25 lakh starting from 2025–26. Subsidy support has also been enhanced, with General category beneficiaries eligible for up to Rs 3.75 lakh, while Scheduled Caste, Scheduled Tribe, and Divyang (differently-abled) beneficiaries can receive up to Rs 5 lakh. Officials said subsidy rates vary between 20–40 per cent depending on location and category.

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The state government said the scheme is playing a key role in promoting financial self-reliance among thousands of families. It also aligns with the broader national vision of “Viksit Bharat” and “Atmanirbhar Bharat”, as described by officials. The programme is implemented by the Khadi, Cottage and Rural Industries Department under Minister Naresh Patel and Minister of State Swarokpji Thakor, and applications are processed through an online portal.

Eligibility criteria for the scheme include residency in Gujarat, age between 18 and 65 years, and basic educational or skill requirements such as passing at least Standard 4 or completing relevant vocational training. Applicants with prior business experience or those from hereditary artisan families are also eligible, and no income ceiling has been set. Once approved by banks, subsidy amounts are directly transferred to beneficiaries’ accounts.

Among beneficiaries is Rohit Prajapati from Bavla in Ahmedabad district, who started a brick manufacturing business using support under the scheme. He said he was inspired after attending a District Industries Centre seminar, where he learned about financing options. Prajapati credited the scheme for helping him overcome capital constraints and establish his business, stating that the assistance has significantly supported his entrepreneurial growth.

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