Aizawl, Sept 19: Mizoram Chief Minister Lalduhoma on Thursday launched the Handholding Scheme – Bana Kaih, aimed at providing vital financial support to entrepreneurs and farmers in the state. This initiative seeks to enhance economic growth and self-reliance through targeted programs.

State officials have noted that this loan scheme is unprecedented in India. It includes five main components, with a highlight being collateral-free and interest-free loans for beneficiaries. Selected partners can secure loans of up to Rs 50 lakh from participating banks, with the state acting as a guarantor under national credit guarantee programs.

Moreover, beneficiaries who consistently repay their loans may receive up to 100% interest subvention, providing financial relief and encouraging timely repayments.

The scheme also features the Chief Minister’s Special Category Scheme, which offers grants of up to Rs 1 lakh for those unable to access loans but with promising livelihood projects that could benefit from a small grant.

Another significant element of the Handholding Scheme is market support. The government has established a Minimum Support Price (MSP) for four key crops: Ginger, Broom, Turmeric, and Mizo Birdeye Chilli. Farmers unable to find market prices below the government rate will receive the MSP. In a pilot program, paddy from Kolasib and Mamit districts will be procured at a minimum support rate of Rs 30 per kilogram starting this year.

This comprehensive initiative is expected to significantly enhance Mizoram’s economy, particularly in agriculture and small businesses, by offering financial assistance and stabilizing market conditions for essential crops.

The Handholding Scheme will be implemented as a pilot project for the current financial year, aligning with the Mizoram government’s “Year of Consolidation,” with support provided to the implementing department to ensure its effectiveness.