Procedure for Mission YUVA – Empowering Entrepreneurship in Jammu & Kashmir

Published On: September 10, 2025

Mission YUVA is a flagship initiative to transform Jammu & Kashmir into a thriving hub of entrepreneurship and employment. The region faces high unemployment, mainly due to limited private sector opportunities, especially among youth and women.

Mission YUVA aims to tackle this challenge by creating a supportive ecosystem where businesses can start, grow, and succeed.

Strategic Pillars of Mission YUVA

Mission YUVA is built around four key schemes that drive entrepreneurship across different levels:

1. Nano Enterprises

Promotes mass self-employment through small-scale businesses.
Project cost up to ₹10 lakh.
Open to first-time entrepreneurs with no prior formal credit history required.
Designed to create gainful livelihood opportunities across sectors.

2. New MSMEs in Focus & Sunrise Sectors

Encourages sustainable growth and grassroots employment.
Targets high-potential sectors such as renewable energy, pharmaceuticals, IT, and advanced manufacturing.
Loan assistance of up to ₹2 crore with 6% interest subvention for 5 years.
Formal registration under MSME is mandatory.

3. Existing Enterprises (Business Acceleration)

Supports growth and expansion of existing enterprises to generate more jobs.
Designed for micro-enterprises operating for at least 5 years.
Eligible for 6% interest subvention per annum for 5 years (up to ₹10 lakh cap).
Offers business development support and growth incentives.

4. Early-Stage Startups & Knowledge-Based Enterprises

Focuses on innovation-driven startups in IT, technology, R&D, and other knowledge-based sectors.
Eligible for funding through a dedicated ₹250 crore Venture Capital Fund.
Supported through innovation hubs and incubators.
Designed to create employment opportunities for high-skilled youth.

Capital: Access to Funding

Access to finance is a key challenge for entrepreneurs in J&K, especially first-time borrowers who lack collateral or financial history. Mission YUVA addresses this through a multi-pronged funding framework:

Investment Support

25% subsidy on project cost (up to ₹1,00,000) for general entrepreneurs.
30% subsidy (up to ₹1,00,000) for women entrepreneurs and persons with disabilities.
Maximum approved project cost: ₹10 lakh.
Subsidy disbursed in two tranches: at loan sanction and upon business setup.

Interest Subvention

Nano Enterprises: 5% for 5 years.
MSMEs: 6% for 5 years.
Startups: Supported through venture capital and micro-equity funding.

Credit Enablement

Integration of all financial assistance programs under one framework for easy access.
Dedicated Credit Guarantee Fund for collateral-free loans to first-time borrowers.