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Master Circular on Self Employment Scheme for Rehabilitation of Manual Scavengers (SRMS)

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Issued by RBI: 02 Jul 2012  ·  Decoded by BankPulse: 20 Jun 2026, 01:41 IST
⏱ ~1 min read
📄 Official RBI source ↗
Quick answerRBI issued a Master Circular consolidating all existing instructions on SRMS as of June 30, 2012. The scheme, replacing the older NSLRS (funding stopped since 2005-06), targets rehabilitation of remaining manual scavengers (3,42,468 as per survey reports) through capital subsidy, concessional loans, and capacity building. Reporting formats are provided.

What changed

RBI issued a Master Circular consolidating all existing guidelines on SRMS as of June 30, 2012. The Government of India stopped funding the earlier NSLRS scheme from 2005-06, and banks are directed to implement SRMS instead. The scheme was extended beyond September 30, 2009, with implementation up to December 31, 2009, and spillover cases up to March 31, 2010 (per circular dated December 18, 2009).

What it means for you

Banks must prioritize SRMS implementation, identifying and rehabilitating manual scavengers and their dependents through alternative occupations. The scheme provides capital subsidy, concessional loans, and capacity building. Banks need to use the prescribed reporting proformas for performance and recovery monitoring.

What you must do

Who it affects

All Indian Public Sector Banks (excluding RRBs), Manual scavengers and their dependents

What is the objective of the SRMS scheme?

To rehabilitate remaining manual scavengers and their dependents by providing alternative dignified occupations through capital subsidy, concessional loans, and capacity building.

What is the target number of beneficiaries under SRMS?

As per survey reports, 3,42,468 manual scavengers are yet to be rehabilitated.

What reporting formats are banks required to use?

Banks must use Annexure II for performance reporting and Annexure III for recovery reporting, as per the Master Circular.

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AI-drafted · 3-model AI consensus fact-check · under the editorial review of Vikram Jain · decoded & published by BankPulse · 20 Jun 2026, 01:41 IST
Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=7385&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by Vikram Jain. Independent platform, not affiliated with the Reserve Bank of India; never reproduces RBI text verbatim.