The aim of the scheme is to provide financial assistance in the form of interest subvention to Nano and household enterprises on a reimbursement basis for the term loan availed by the unit.

The objective of the scheme are: i. To generate employment opportunities in households through new self-employment projects (Nano/Household units). ii. To aggregate household/Nano units 85 increase the extent of potential employment. iii. To provide continuous and sustainable employment and increase the wage earning capacity of unorganized /household/units. iv. To address specific issues not covered under similar schemes of the Government of India/Government of Kerala. v. The new scheme for providing financial assistance to Nano and household units is to support units with a capital investment of ₹10 Lakhs or less for manufacturing units engaged in job work and units engaged in service sector activities having any type of value addition in physical form by using machinery or equipment. The assistance is by way of interest subvention on the term loan availed for a period of three years on a reimbursement basis. vi. The assistance is provided for the first three years after the units are set up. In the first year assistance is given without considering prompt repayment. During the 2nd and 3rd year interest subvention is accorded if the loan is not classified by the bank as NPA. Thus it is a big relief in the early stages of business. vii. The unit will be monitored for financial health and symptoms of sickness can be found out well on time. viii. The units engaged in job work were hitherto not eligible for any sort of financial assistance other than under PMEGP.

Director of Industries & Commerce, Government of Kerala

A unit/enterprise which satisfies the following conditions is eligible for the scheme: • The fixed capital investment is 10 lakh or less. • Engaged in manufacturing, services, or job work. • In the white and the green category as per pollution control norms. • Connected load is 5 HP or less.

The unit will be provided interest subvention to an extent of 6% per annum for the term loan availed by the unit on a reimbursement basis for three years.

For women and SC/ST enterprises, the interest subvention will be 8% for three years.

No, in the event of default of repayment of the loan with interest at the end of 1st year, the subvention will not be passed. The same is applicable for 2nd and 3rd years.

Photo Studios and Colour Processing Centres, Breweries and Distilleries of all types, Sawmills, Soap Grade Sodium Silicate, Asbestos processing except units in which the quantum of asbestos used in the production process is less than 25% and environmental and occupational health hazards have been taken care of the satisfaction of authorities concerned, Metal Crushers including Granite Manufacturing units, All types of Steel Re-rolling Mills, Units manufacturing iron ingots, Calcium Carbide, Cement manufacturing except units manufacturing cement from fly ash, Potassium Chlorate, Cashew industrial units, Power intensive units based on electro-thermal/electrochemical processor units where total power requirement exceeds 5000 KVA of contract load or where the cost of power is more than 33% of cost of production of the items manufacture except where the units

Manufacturing units which are eligible to claim assistance under the Entrepreneur Support Scheme or any other schemes of Govt. of India or Govt. of Kerala cannot apply under the scheme.

No, a unit which has availed special low rate of interest from Government Agencies are not eligible for further interest subvention under this scheme.

Application can be submitted online or in person to the Assistant District Industries Officer, Taluk Industries Office concerned with all supporting documents. Online application can be submitted through the Official website of the Directorate of Industries & Commerce, Government of Kerala. https://schemes.industry.kerala.gov.in/public/index.php/schemes