Mahila Udyam Nidhi Scheme

Mahila Udyam Nidhi (MUN) Scheme is a scheme offered under Small industrial Development Bank of India (SIDBI) to encourage and empower women entrepreneurs and promote women Entrepreneurship by providing financial assistance at concessional interest rates. The funding provided by Mahila Udyam Nidhi Scheme can be used by MSMEs to undertake service, manufacturing and production related activities.

Under Mahila Udyam Nidhi Scheme, women entrepreneurs can avail loan sup to Rs. 10 lakh to start their own business or small scale enterprise. The interest rates offered under this scheme may vary from bank to bank. The funding support can also be used to upgrade or expand existing projects. The maximum loan repayment period offered under this scheme is up to 10 years with the moratorium pages up to 5 years.


  • Project cost should not surpass Rs. 10 lakh.
  • Loan limit of up to 25% of project cost, subject to limit of Rs. 2.5 lakh per project is offered to deserving women entrepreneurs.
  • Reimbursement tenure of loan is as long as 10 years, including moratorium time of 5 years.
  • Loan cost fixed by SIDBI and offered by banks that may change every once in a while and will be conveyed by SIDBI to women entrepreneurs.
  • Service charge of 1% per annum is charges by the particular bank, according to the authorized credit.
  • Service charge waiver relies upon the loaning office.