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RSETI: Promoting entrepreneurship in rural India

590 Rural Self Employment Training Institutes are extending skill and entrepreneurship development training programmes to rural poor youth to facilitate them to employ themselves
RSETI: Promoting entrepreneurship in rural India
RSETI: Promoting entrepreneurship in rural India

In order to promote entrepreneurship in rural India, 590 Rural Self Employment Training Institutes (RSETI), promoted by banks, are functioning across the country extending skill and entrepreneurship development training programmes to rural poor youth to facilitate them to employ themselves by commencing self-employment activities. This Ministry (Rural Development) is reimbursing the cost of training imparted by the RSETIs to the rural poor youth through the State Rural Livelihoods Missions (SRLMs), besides providing infrastructure grants to the institutions. Since its inception, a total of 41.93 lakh youth have been trained and 29.34 lakh youth have been settled up to June 30, 2022, Union Minister of State for Rural Development, Sadhvi Niranjan Jyoti said in a written reply in Rajya Sabha today.

The ministry is also implementing Start-up Village Entrepreneurship Programme (SVEP) as a sub-scheme under the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission (DAY-NRLM) with the objective to help the rural poor (from SHG eco-system) to set-up enterprises at the village level in non-agricultural sectors. The operational unit of the project is the community development block. A maximum of 2,400 enterprises can be supported in one block with the approved funds. The maximum budget for one block under SVEP is Rs. 650 lakhs. A total of 208,594 enterprises across 29 states and UTs have been supported so far, the minister further informed the upper house of the Indian parliament.

A short study on “Impact of RSETI Training on Repayment Behaviour of Bank Borrowers” was conducted by the National Academy of RUDSETI, Bengaluru in July 2020. The major findings are as follows:

  • 85 per cent of loan proposals received by the banks from RSETIs are getting sanctioned.
  • Around 95 per cent of loans given to RSETI trainees are regular in repayment.

The mid-term review of the SVEP was done during the year 2018-19 by Quality Council of India (QCI); the key findings are as follows:

  • 82 per cent of entrepreneurs across the blocks reported being from SC, ST and OBC categories.
  • 75 per cent of the enterprises were owned and managed by women.
  • 57 per cent of the total household income is through the enterprises promoted under SVEP.

Read more: NASSCOM Foundation, Google set up call centre to scale rural women entrepreneurs

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