₹344 crore interest subsidy to be credited to SHGs by July 18
The State government has released ₹344.35 crore as interest subsidy under the Vaddi Leni Runalu (VLR) scheme for women's self-help groups (SHGs) as part of the Indira Mahila Shakti (IMS) initiative. Of the total amount released by the Finance department on Friday, ₹299.35 crore has been earmarked for 3,51,599 SHGs in rural areas and ₹44 crore for those in urban areas. The interest subsidy will be directly credited to the accounts of eligible groups by July 18.
In addition, Ministers, MLAs and other public representatives will distribute interest subsidy cheques along with accident and loan insurance cheques in their respective constituencies shortly.
The interest-free loan scheme (VLR), which was inactive during the previous Bharat Rashtra Samithi (BRS) government's tenure from 2019 to 2023, is being actively revived by the Congress government. Officials stated that over ₹3,075 crore in interest dues remained pending during the BRS period.
Since the Revanth Reddy-led Congress government came to power, ₹862.04 crore has been released towards interest subsidy, including the latest tranche of ₹344 crore. The scheme is being spearheaded by Panchayat Raj and Rural Development Minister Danasari Anasuya (Seethakka). Under her initiative, the State government bears the interest on loans taken by SHGs from banks, thereby ensuring zero interest burden on the beneficiaries.
Minister Seethakka reiterated the government's commitment to the economic empowerment of women in the State. She noted that annual loan disbursements to SHGs are expected to exceed ₹25,000 crore and assured that the government would continue to pay the interest component to alleviate financial stress on women.
'The revival and timely implementation of this scheme reflect the Congress government's commitment to women's welfare,' she added.
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