§1Who it is for
- New and expanding units with term loans; GST-registered units with working capital loans
Useful if
Bank-financed new units in Arunachal.
Do not spend time on it if
Units funded fully by own money.
§2Eligibility
- New units or existing units with substantial expansion; loan from scheduled commercial bank or RBI-registered FI
- Service unit must invest at least ₹5 lakh in new building/shed and durable assets
Assets bought at arm's length price
- Working capital subvention: existing and new eligible units registered under GST
§3Benefits
- Term loan: 6% p.a. for 5 years, max ₹10 lakh (investment ₹5-25 lakh); 5% p.a. for 5 years, max ₹20 lakh (above ₹25 lakh)
- Priority sector: 8% (max ₹15 lakh) / 6% (max ₹25 lakh)
- Working capital: 5% p.a. for 5 years, max ₹50 lakh total, not above 100% of investment
§4Norms — pattern of assistance
- Paid on disbursed amount only
Paid after commercial production
- Unit must bear at least 2% interest (term loan) / 1% (working capital)
- Working capital paid yearly on bank interest certificate
§5Documents
Not published
The guideline does not list the documents. Ask the portal or bank before you apply — we do not make up lists.
§6How to apply
- 1
Register under the policy; claim yearly with bank interest certificate
§7Pros and cons
Merits
- Covers working capital as well as term loans
Demerits
- Minimum interest floor of 1-2% stays with the unit
- Official text not available online
→Related schemes
Need help with Arunachal interest subvention?
Eligibility check, DPR and application file — ask us on WhatsApp.
Our interestHelp is our paid service. You can also apply for the scheme yourself.
¶Sources
Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.