Himachal Pradesh Expands Support Scheme for Urban Shopkeepers

Himachal Pradesh's Chief Minister announced the expansion of the Mukhya Mantri Laghu Dukandar Kalyan Yojana to support small urban shopkeepers. The scheme offers One-Time Settlement assistance for loans declared as NPAs. It aims to alleviate financial stress for traders with a focus on transparency and ease of access.

In a significant move to bolster the financial stability of small urban shopkeepers, Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu announced the expansion of the state's Mukhya Mantri Laghu Dukandar Kalyan Yojana. Originally implemented in rural areas, the scheme will now cover urban areas, extending crucial financial relief to small traders.

The announcement follows the 2025-26 state budget, aiming to support traders whose businesses have been plagued by financial stress and whose loans have been classified as Non-Performing Assets (NPA). Eligible shopkeepers with annual turnovers under Rs 10 lakh will receive One-Time Settlement (OTS) assistance of up to Rs 1 lakh from the state government to settle outstanding debts.

The initiative stands out due to its emphasis on transparency, ensuring genuine beneficiaries can access aid without processing fees, while a clear institutional mechanism involving local urban bodies and banks facilitates effective claim settlements.

(With inputs from agencies.)