Mukhyamantri Yuva Swarozgar Yojana UP — Apply Online for Youth Self-Employment Scheme

What is Mukhyamantri Yuva Swarozgar Yojana?

Mukhyamantri Yuva Swarozgar Yojana is a flagship self-employment scheme launched by the Uttar Pradesh government to encourage entrepreneurship among unemployed youth. Under this scheme, eligible youth can get loans up to ₹25 lakh for setting up manufacturing units and up to ₹10 lakh for service sector enterprises, with a 25% margin money subsidy from the government.

The scheme is managed by the Directorate of Industries and Enterprise Promotion, under the MSME Department of UP. It aims to create job creators instead of job seekers, especially in semi-urban and rural areas of the state.

Who is Eligible?

To apply for Mukhyamantri Yuva Swarozgar Yojana, you must meet these criteria:

• Age: 18 to 40 years
• Domicile: Must be a permanent resident of Uttar Pradesh
• Education: Minimum Class 10 pass (high school)
• Income: Annual family income should not exceed ₹2 lakh (for general category)
• No prior loans: Should not have availed any loan under any other government self-employment scheme
• No defaulter: Should not be a defaulter with any bank or financial institution
• One per family: Only one member per family can avail the scheme
• Not a government employee: Applicant should not be a government servant

Reserved categories: SC/ST/OBC/Women/Disabled candidates get relaxation in age and other criteria as per UP government norms.

Benefits Under the Scheme

Additional benefits:

• Subsidized interest rate on bank loan
• Training and skill development support
• Handholding for enterprise setup
• No collateral required for loans up to ₹10 lakh (under CGTMSE coverage)

Documents Required

Identity & Address:

• Aadhaar Card (see our Aadhaar guide for help)
• PAN Card (see our PAN card guide for details)
• Domicile certificate / Residence proof of UP
• Passport-size photographs

Education & Income:

• Class 10 marksheet / certificate
• Income certificate (issued by Tehsildar)
• Caste certificate (if applicable)

Business-related:

• Project report / Business plan
• Quotation for machinery / equipment
• Premises proof (rent agreement / ownership document)

Bank-related:

• Bank account passbook (linked with Aadhaar)
• Bank statement (last 6 months)

How to Apply Online — Step-by-Step

Online Application (Recommended)

1. Visit the official portal: Go to diupmsme.upsdc.gov.in
2. Register as a new user: Click on "नवीन उपयोगकर्ता पंजीकरण" (New User Registration)
3. Select scheme: Choose "मुख्यमंत्री युवा स्वरोजगार योजना" from the dropdown
4. Fill personal details: Enter name, father's name, date of birth, mobile number, email, and Aadhaar number
5. Upload documents: Upload scanned copies of all required documents (PDF format, under 1 MB each)
6. Submit project report: Upload your business plan / project report
7. Review and submit: Check all details carefully and click Submit
8. Note application number: Save the application number for tracking
9. District-level verification: Your application will be verified by the District Industries Centre (DIC)
10. Bank sanction: After DIC approval, your application is forwarded to the bank for loan sanction

Offline Application

1. Visit your nearest District Industries Centre (DIC) office
2. Collect the application form
3. Fill in all details and attach required documents
4. Submit the form at the DIC office
5. Your application will be processed through the same verification pipeline

Processing Time

Fees

There is no application fee for this scheme. The registration on the DIUPMSME portal is completely free.

Important Tips

1. Prepare a strong project report — Banks evaluate your business plan before sanctioning the loan. Get professional help if needed.
2. Keep Aadhaar linked to bank account — Subsidy is transferred via DBT (Direct Benefit Transfer) to your Aadhaar-linked bank account.
3. Apply early — Funds are limited and allocated on a first-come-first-served basis each financial year.
4. Track your application — Log in to the DIUPMSME portal regularly to check status and respond to any queries.
5. Attend skill training — The government offers free training programs for applicants. Attending these improves your approval chances.

Frequently Asked Questions

Q1. What is the maximum loan amount under Mukhyamantri Yuva Swarozgar Yojana?

You can get up to ₹25 lakh for manufacturing and ₹10 lakh for service sector enterprises. The government provides a 25% margin money subsidy on the total project cost.

Q2. Can women apply for this scheme?

Yes, women are eligible and get priority in the selection process. There is a reservation for women applicants under this scheme.

Q3. Is there any application fee?

No, the application is completely free. You can apply online through the DIUPMSME portal without any charges.

Q4. What if my loan application is rejected by the bank?

If the bank rejects your application, you can reapply after addressing the reasons for rejection. Common reasons include weak project reports or incomplete documentation. You can also approach the DIC office for guidance.

Q5. Can I apply if I already have a business?

No, this scheme is specifically for new enterprises. If you already have an existing business, you may explore other MSME schemes available on the same portal.

Q6. How is the subsidy amount disbursed?

The 25% margin money subsidy is directly deposited into your bank account after the loan is sanctioned and the enterprise is established. It is released as a one-time grant.

Q7. Do I need collateral for the loan?

For loans up to ₹10 lakh, no collateral is required as these are covered under CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises). For higher amounts, the bank may ask for collateral as per their norms.

Disclaimer: This guide is for informational purposes only. CitizenNest is an independent platform and is not affiliated with the Government of Uttar Pradesh. Always verify details on the official DIUPMSME portal before applying.

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