What changed
RBI issued a Master Circular consolidating all existing guidelines on SJSRY, effective from the date of the circular. The revised scheme guidelines, effective April 1, 2009, are now compiled in one document for easier reference. Previous circulars listed in Annexure X are superseded by this consolidation.
What it means for you
Banks now have a single reference document for SJSRY lending, reducing confusion from multiple circulars. The scheme focuses on urban poverty alleviation through self-employment ventures, wage employment, and skill training. Lenders must align their processes with the revised guidelines to ensure compliance and effective implementation.
What you must do
- Review the Master Circular and update internal lending policies for SJSRY components like USEP, UWSP, and STEP-UP.
- Train branch staff on the consolidated guidelines to ensure uniform implementation across all urban branches.
- Monitor recovery positions and submit quarterly reports as per the formats in Annexures VIII and IX.
- Ensure community structures like Neighborhood Groups are supported as per the revised guidelines.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Urban branch managers handling priority sector lending, Credit officers dealing with self-employment and wage employment schemes
What is the main objective of SJSRY?
To provide gainful employment to urban unemployed or underemployed poor through self-employment ventures, wage employment, and skill training, thereby alleviating urban poverty.
When did the revised SJSRY guidelines take effect?
The revised guidelines came into effect from April 1, 2009, as per the Master Circular issued on July 2, 2012.
Which previous schemes were subsumed into SJSRY?
SJSRY subsumed Nehru Rozgar Yojana (NRY), Urban Basic Services for the Poor (UBSP), and Prime Minister's Integrated Urban Poverty Eradication Programme (PMIUPEP).