NRLM was renamed as DAY-NRLM (Deendayal Antyodaya Yojana – National Rural Livelihood Mission) with effect from March 29, 2016. It is a centrally sponsored scheme and the Central and State Governments jointly fund the projects. The NRLM aims at reducing rural poverty by enabling poor households to access gainful self-employment and skilled wage employment opportunities. The aim of Mission is to mobilize 10-12 crore rural households into self-help groups in a time bound manner by 2024-25. The households identified with at least one deprivation criteria as per SECC along with households identified through the P.I.P process would be accepted as DAY-NRLM target group and would be eligible for all the benefits under the programme.

Scheme Name - Deendayal Antyodaya Yojana - National Rural Livelihoods Mission (DAY-NRLM)

Objective of Scheme

To reduce rural poverty by enabling poor households to access gainful self-employment and skilled wage employment. It empowers marginalized communities—particularly women—through sustained livelihood options and strong grassroots institutions.

Key Eligibility Requirements

1. Target Demographic

• Primary focus: Rural poor and marginalized households.
• Women-centric: Most benefits flow through women-only Self-Help Groups (SHGs).
• Identification: Beneficiaries are identified using data from the Socio-Economic Caste Census (SECC 2011) or Participatory Identification Process (PIP).

2. Self-Help Group (SHG) Criteria

To access benefits (like Revolving Funds and Bank Linkage loans), the SHG itself must meet specific conditions:

• Group Size: Typically consists of 10 to 20 members. In special circumstances (e.g., remote tribal areas, difficult terrain, or groups for persons with disabilities), a minimum of 5 members is accepted.
• Active Existence: The SHG must be active for at least 6 months.
• The "Panchasutras": The group must strictly follow 5 core principles:
  1. Regular meetings
  2. Regular savings
  3. Regular inter-loaning (internal lending among members)
  4. Timely repayment of loans
  5. Up-to-date maintenance of account books

3. Group Enterprises Eligibility (if applying for enterprise loans)

If an SHG or a collective is applying for the Capital Subsidy or Group Enterprises component, criteria include:

• Minimum Members: At least 5 members.
• Poor Representation: Over 70% of the group members must belong to impoverished families.
• Age: All members must be at least 18 years old at the time of application.

Key Benefits of the NRLM Scheme

1. Financial Inclusion & Subsidized Credit

• Collateral-Free Loans: Self-Help Groups (SHGs) can access formal bank loans with no margin or collateral required up to ₹10 Lakhs.
• Interest Subvention: Women SHGs in 250 identified backward districts can get loans up to ₹3 Lakhs at a subvented rate of 7% per annum. Prompt repayments yield an additional 3% subvention, dropping the effective interest rate to just 4%.
• Revolving & Community Funds: Direct financial support is provided to groups to build their initial corpus, improve credit history, and manage internal lending.

2. Universal Social Mobilization & Empowerment

• The scheme brings at least one woman from every rural poor household into robust, peer-supported Self-Help Groups (SHGs).
• It creates a federated structure of Village Organizations (VOs) and Cluster Level Federations (CLFs) to foster collective bargaining and long-term socio-economic empowerment.

3. Skill Development & Employment

• DDU-GKY: Provides placement-linked skill training for rural youth (ages 15–35) to help them secure sustainable wage employment.
• RSETIs: Rural Self Employment Training Institutes provide free residential entrepreneurship and skill development training for individuals (ages 18–50) to start their own businesses.

4. Livelihoods Enhancement

• Provides dedicated support for farm-based (agriculture, livestock) and non-farm (handicrafts, micro-enterprises) livelihoods.
• Facilitates value addition, branding, and market linkages so rural entrepreneurs can sell their products profitably.

5. Access to Entitlements

• Connects rural households to other government entitlements like social security pensions, insurance, housing (PMAY), and sanitation (Swachh Bharat).

Step-by-Step Application Process

1. Form or Join a Self-Help Group (SHG)

• The primary method of receiving benefits is through community groups.
• Connect with your local Block Development Officer (BDO), Gram Panchayat office, or local Community Resource Persons (CRPs) in your area.
• Groups are typically formed with 10 to 20 women from Below Poverty Line (BPL) or marginalized households.

2. Complete SHG Registration

• Your SHG must adhere to the Panchasutra norms (regular meetings, regular savings, internal lending, timely repayment, and updated records).
• Open a Savings Bank Account in the name of the SHG, which requires identity and address proof of the office bearers.

3. Develop a Micro-Credit Plan

• The SHG creates a group or individual micro-plan outlining your livelihood needs and financial requirements.
• This plan is submitted to your local NRLM officials for assessment.

4. Apply for Funds and Bank Linkage

• Offline: The local NRLM officials help link your SHG with partner banks. The SHG will receive a Revolving Fund (RF) and Community Investment Fund (CIF) once registered.
• Online: You can initiate loan or scheme inquiries through the JanSamarth Portal or the official shgbankloan.lokos.in Portal.

Contact Details

Name: Ashutosh Kumar (District Thematic Expert)

Mobile No.: 7830800610

Email: dmmdoon@gmail.com