Stree Nidhi Andhra Pradesh has launched a special loan scheme offering up to Rs 3 lakh to eligible self-help group members, with applications to be sanctioned within 48 hours at an annual interest rate of 11 per cent, state MSME, rural poverty alleviation and NRI empowerment minister Kondapalli Srinivas said on Tuesday.
The facility is intended to support women starting or expanding small businesses through self-help groups. A maximum of three women from each SHG can access the scheme. Loans below Rs 3 lakh, including subsidised loans available under the Pradhan Mantri Formalisation of Micro Food Processing Enterprises scheme, will also be processed through Stree Nidhi.
The announcement places Stree Nidhi at the centre of the state’s efforts to expand credit access for women who are organised through SHGs and village-level institutions. The faster sanction timeline and digital and biometric processes are designed to reduce dependence on conventional lending procedures, although the report does not specify the application documents, eligibility screening process or disbursement timeline after approval.
According to figures shared by the minister, Stree Nidhi sanctioned loans worth Rs 14,467.12 crore to around 17.96 lakh women between the 2024-25 financial year and October 8, 2026. Recoveries through digital transactions amounted to Rs 4,443.13 crore during the period. The institution reported a recovery rate of 98 per cent.
Stree Nidhi has distributed 30,000 biometric devices, costing Rs 6 crore, to village organisations. The use of biometric authentication and digital repayment systems is intended to strengthen the connection between village-level lending institutions and borrowers while supporting financial inclusion. The figures released by the minister do not provide a district-wise breakdown of beneficiaries, loan defaults or the sectors in which borrowers used the funds.
The institution has also increased the loan limit for self-help groups from Rs 5 lakh to Rs 17 lakh. The limit for village organisations has been raised to Rs 1.5 crore. These higher ceilings are aimed at expanding the lending capacity of the institutions that aggregate SHG activity and manage credit at the local level.
Apart from the new entrepreneurship facility, Stree Nidhi offers education and marriage loans with a four per cent interest subsidy, subsidised loans for food-processing units under the PMFME scheme and short-term loans for tribal women. Loan protection and accidental death assistance schemes are also available to support families if a borrower dies.
The Andhra Pradesh government has earmarked Rs 3,000 crore for loans to women entrepreneurs during the 2026-27 financial year. The minister said the broader objective was to empower women, promote entrepreneurship and expand digital financial inclusion, in line with the government’s stated goal of creating an entrepreneur in every family. Further details on the rollout of the Rs 3 lakh facility, including the application channel and district-level implementation arrangements, were not provided in the announcement.
