Name of Schemes - Urban Women Self-help Programme (UWSP)

Scheme Category – Employment

Scheme Description - "Urban poor women self-help groups for setting up of group-enterprises and providing them assistance through a revolving fund for thrift & credit activities. This scheme will be having two sub-components.

(i) Assistance to groups of urban poor women for setting up gainful self-employment ventures - UWSP (Loan & Subsidy).

(ii) Revolving Funds for Self-Help Groups (SHGs) / Thrift & Credit Societies (T&CSs) formed by the urban poor women – UWSP (Revolving Fund).


This programme applies to urban local bodies the population of which was less than 5 lakhs as per 1991 census. The prevailing minimum wage rate, as notified from time to time for each area, shall be paid to beneficiaries under this programme. No educational qualification is required for the scheme:

Procedure to apply for the scheme:

  • Scheme 1: Urban Women Self-Help Programme (Loan & Subsidy)
  • i) To be eligible for subsidy under this scheme, the UWSP group should consist of at least 5 urban poor women. Before starting an income-generating activity the group members must get to know each other well, understand the group strategy, and also recognize the strength and the potential of each member of the group.
  • ii) The group will select an organizer from amongst the members. The group will also select its own activity. Care should be exercised in the selection of activity because the future of the group will rest on the appropriateness of the selection. As far as possible, activities should be selected out of an identified shelf of projects for the area concerned maintained by the town Urban Poverty Alleviation Cell. In addition, every effort will be made to encourage the group to set itself up as a Self-Help Group or Thrift & Credit Society, mobilizing savings and credit.
  • Scheme 2: Urban Women Self-Help Programme (Revolving Fund)
  • i) A Self-Help Group / Thrift and Credit Society under UWSP shall be entitled for payment of revolving fund not earlier than one year after its formation. In other words, only such a body, in existence and functioning for at least one year, shall be eligible for payment of the revolving fund.
  • ii) The decision whether a group has been in existence and functioning for more than one year shall be taken on the basis of examination of the records of the group as regards the number of meetings held, the collections made from members towards group savings, the regularity of collection, the role of the group in capacity building or training of its members etc.
  • iii) The registration of the groups will be encouraged. However, it may not be insisted upon as a precondition for receipt of revolving fund if their performance is otherwise considered satisfactory by the Urban Poverty Alleviation (UPA) Cell of the Urban Local Body (ULB).
  • iv) Federations of SHGs / T&CS at the cluster / ward / city level will need to be registered for channelisation of Revolving Fund, bank credit etc. States / UTs will issue guidelines prescribing eligibility criteria for receipt of revolving fund benefits by groups.

Monthly Contributions:

Compiled and Edited by Lead Optimist(PFA) - Abirame Periyasamy

Disclmer - We have created this article basse on officiaI circulars and clarifications from officials. However the scheme related details are subjecte to change and we do not guarantee any promoises. All the information in this article in intended for informational purpose only an greating awareness among citizens