Objective

The Deendayal Antyodaya Yojana (DAY) integrates the National Rural Livelihood Mission (NRLM) and the National Urban Livelihood Mission (NULM) to alleviate poverty by organising poor households into Self‑Help Groups (SHGs) and facilitating sustainable credit linkages.

Mechanism

SHGs that are formally registered and bank‑linked receive a revolving fund ranging from Rs. 10,000 to Rs. 20,000 per group. The fund is replenished through timely loan repayments, enabling continuous access to finance. An interest subvention scheme reduces the effective interest rate on bank loans to 7 % and further to 4 % for groups that repay within the stipulated period. A Community Investment Fund (CIF) is also available to support income‑generating activities.

Target Beneficiaries

The scheme targets rural and urban poor women, including marginalised castes and minorities, who are members of registered SHGs comprising a minimum of ten households.

1. Obtain the SHG registration certificate and bank linkage letter.
2. Submit the application form to the Block Development Office (rural) or Urban Local Body (urban).
3. The respective Livelihood Mission officer verifies documentation and forwards it to the designated bank.
4. Upon approval, the revolving fund is credited to the SHG’s bank account.