₹300-cr. rural rejuvenation scheme launched

COVID-19 Assistance Package is part of a World Bank- assisted project

The State government has launched a ₹300-crore special assistance scheme for rejuvenation of rural enterprises.

Called the ‘COVID-19 Assistance Package’, the scheme is part of the World Bank-assisted Tamil Nadu Rural Transformation Project (TNRTP). It will cover around 1.39 lakh beneficiaries. The project is being implemented in 3,994 village panchayats in 120 blocks in 30 districts, with a total fund layout of ₹918.2 crore.

At an event, Chief Minister Edappadi K. Palaniswami inaugurated the scheme and gave away the assistance to five beneficiaries.

A host of rural enterprise activities such as production of masks, sanitiser, soap and hand wash, garments, dairy, poultry, fisheries, small food centres , agri-product sale, production of various raw materials, artificial jewellery, beautician work, wood carving/craft works and home appliances repairing will be supported under the scheme. Financial assistance will be rendered both to existing rural enterprises and new ones under five categories.

Components of the scheme include provision of working capital assistance of ₹159.76 crore (as long-term loan) through panchayat-level federations to 31,952 individual enterprises; one-time capital grant of ₹43.97 crore to 31,960 members of 1,598 existing producers’ groups; and another one-time capital grant of ₹3.6 crore to 1,200 members of 120 existing enterprise groups.

Besides, it includes a start up grant support of ₹50.19 crore to 5,010 skilled migrant youth returnees for opening enterprises; ₹7.5 crore to 75 producer collectives and capital fund ₹49.92 crore (as individual assistance soft loan) for identified livelihood/enterprise activities of 31,952 differently-abled and vulnerable persons.