What is ‘CM Yuva Yojana’? Know how to apply for it

CM Yuva Yojana: Amid rising unemployment and limited job opportunities in the country, the central and state governments are implementing several schemes to encourage youth to pursue self-employment. Specifically, for youth who wish to start their own businesses instead of seeking employment, the government is providing financial assistance and training. The Uttar Pradesh government has also launched a special self-employment scheme aimed at empowering youth, providing interest-free and guaranteed loans for starting businesses.

This scheme of the Yogi Adityanath government of Uttar Pradesh is known as the Chief Minister Youth Entrepreneur Development Campaign, also known as the CM Youth Scheme. Through this scheme, youth are provided financial assistance to start their own businesses, enabling them to create their own employment and provide employment to others. The government had set a target of providing loans to approximately 150,000 youth under this scheme for the financial year 2025-26.

The CM Yuva Yojana is a significant scheme of the Uttar Pradesh government, aimed at encouraging youth employment. Under this scheme, youth are provided interest-free and guarantee-free loans to start their own businesses. Under the scheme, youth can start their own businesses with a project cost of up to Rs 5 lakh

The goal of this scheme is to connect 1 million youth with self-employment over the next 10 years. This means that approximately 100,000 youth are targeted to be employed through this scheme each year. The government also provides necessary training and guidance to beneficiaries so they can successfully run their businesses. The CM Yuva Yojana is implemented in two phases. The first phase approves projects up to Rs 5 lakh. It provides an interest-free and guarantee-free loan of up to Rs 4.5 lakh. This loan is repaid with a six-month moratorium.

After successfully repaying the first phase loan, the second phase can be approved for a project cost of up to Rs 10 lakh. This phase offers a larger loan amount and offers an interest subsidy of up to 50 percent. Only youth who are residents of Uttar Pradesh and between the ages of 21 and 40 can apply for this scheme. The minimum educational qualification required is at least an eighth-grade pass. Applicants must also have a skill training certificate, diploma, or degree from a recognized institution or have received training under government training schemes such as the Vishwakarma Shramik Samman Yojana, ODOP Training, or the UP Skill Development Scheme.

Under the scheme, beneficiaries are required to contribute a portion of their own contribution according to their category, with the general category contributing 15%, OBCs 12.5%, and SC/ST and differently-abled individuals contributing 10%.