Ziraat Times Team Report
Srinagar: J&K Bank has announced the eligibility criteria and the terms and conditions for the recently launched Mission YUVA self employment scheme.
Documents made available to Ziraat Times suggest the bank is rolling out three specific business finance schemes, which include Nano Udaan (Scheme for Creation of Nano Enterprises & Collectives), MSME Aghaaz (Scheme for Creation of New MSMEs in Focus & Sunrise Sectors) and Yuwa Parwaaz (Scheme for Business Acceleration of Existing Enterprises)
In this part, Ziraat Times brings to our readers what the Yuva Parwaaz Scheme has to offer:
The Yuva Parwaaz Scheme offers term and working capital loans ranging from ₹10 lakh to ₹25 crore.
Eligibility for the scheme:
Applicant must be between 18 and 59 years old and must be a domicile of Jammu & Kashmir, including Kashmiri migrants living elsewhere in India. However, the business must be set up within the Union Territory of J&K.
Only Micro, Small, and Medium Enterprises (MSMEs) in the Focus & Sunrise sectors are eligible. Focus sectors include: Agriculture (Saffron, Basmati, etc.)
Horticulture (Apples, Walnuts, Almonds)
Dairy, Livestock, Floriculture, Medicinal Plants, Beekeeping
Handicrafts, Handloom, Agro-processing
Cultural & Religious Tourism, Transport, Real Estate, etc.
Sunrise Sectors include:
IT / ITeS, Eco and Adventure Tourism, Hydropower, Pharmaceuticals, Knowledge-based services
Previous beneficiaries of goovernmen schemes can apply only if: They have fully repaid earlier government loans at least 6 months before applying under this scheme.
They are starting a new enterprise (not extending the old one).
No family member is a defaulter in any previous self-employment scheme.
Interest rate: What borrowers would actually pay
For MSEs borrowing up to ₹15 lakh, the interest rate is:
RLLR (currently 9.15%) + 1.5% = 10.65% annually
For loans above ₹15 lakh, the interest is: RLLR + borrower-specific spread, typically between 1.5% and 3%, potentially pushing rates to 11–12%
The rate is floating and charged with monthly rest.
Is any Interest Subvention available?
Eligible enterprises receive a 6% interest subvention annually, capped at ₹10 lakh over five years.
That means if a borrower takes a ₹15 lakh loan at 10.65%, they could get back approx. ₹90,000 per year under subvention — reducing net cost to ~4.65%. However, this only holds if subvention is disbursed on time and the borrower completes full repayment.
Repayment terms
Loans must be repaid in 66 EMIs (5.5 years) including a moratorium of up to 6 months.
Working capital component is renewable annually.
Would borrowers require any guarantors & collateral?
Borrowers are required to provide:
Two third-party guarantors with sufficient net worth. Could be salaried professionals, property owners, businesspersons
Collateral: Mortgage covering at least 75% of loan value, or CGTMSE cover (for eligible MSEs), or Personal guarantees from directors/promoters.
I am also a customer of Jammu and Kashmir Bank I want also one time settlement about my loan or extend loan amount for improvement my business thank you j and k bank