What is Karma Sathi Prakalpa?

Karma Sathi Prakalpa is a West Bengal government self-employment scheme that provides collateral-free loans up to ₹2 lakh to unemployed youth for starting small businesses and self-employment ventures.

How much loan is available under Karma Sathi Prakalpa?

Unemployed youth can avail loans up to ₹2 lakh under Karma Sathi Prakalpa at subsidised interest rates, with the state government providing interest subsidy to reduce the repayment burden.

Who is eligible for Karma Sathi Prakalpa?

Unemployed youth between 18–45 years of age who are permanent residents of West Bengal, educated up to at least Class 8, and not already running a registered business are eligible.

What businesses can be started under Karma Sathi Prakalpa?

The loan can be used to start small businesses like retail shops, service centres, beauty salons, food stalls, repair workshops, tailoring units, and other micro-enterprises generating self-employment.

How to apply for Karma Sathi Prakalpa?

Applications are available at Duare Sarkar camps, district Employment Banks, or the MSME/Labour Department office. Applicants need identity proof, age proof, residence proof, and a basic business plan.

What is the repayment period for Karma Sathi Prakalpa loans?

Loans under Karma Sathi Prakalpa are typically repaid over 3–5 years through monthly or quarterly EMIs, with a moratorium period at the beginning to allow the business to stabilise.

West Bengal Government Scheme – Youth Self-Employment

West Bengal Karma Sathi Prakalpa – Self-Employment for Youth – কর্ম সাথী প্রকল্প

Collateral-free self-employment loan up to ₹2 lakh for unemployed youth | WB 2026

Updated 2026 – Loan limit enhanced; new business categories added

Self-Employment₹2 Lakh Loan Youth 18–45 Collateral Free

About West Bengal Karma Sathi Prakalpa

Karma Sathi Prakalpa (কর্ম সাথী প্রকল্প — ‘Work Companion Scheme’) is a West Bengal government scheme providing collateral-free self-employment loans up to ₹2 lakh to unemployed youth for starting their own micro-enterprises. Launched in 2020, the scheme covers a wide range of business activities — from manufacturing and services to trade. With government-backed credit guarantee and interest subsidy, it enables young people without assets to become entrepreneurs and job creators.

₹2L

Maximum collateral-free self-employment loan

Subsidy

Interest subsidy component on the loan

Age 18–45

Eligible age range for Karma Sathi applicants

DBT

Loan disbursed directly to beneficiary account

Benefits & Features

Collateral-free loan up to ₹2 lakh for starting own business
Government credit guarantee — banks can lend without collateral requirement
Interest subsidy component reduces effective borrowing cost
Wide range of eligible business activities across sectors
Available to unemployed youth aged 18–45 years
Training and mentoring support available through MSME department

⚠️ Business Plan: Applicants must submit a viable business plan. Loans are for productive self-employment — not for consumer purposes. Apply through District MSME office or empanelled bank.

How to Apply – 2026

Prepare a business plan for the proposed self-employment activity

Visit District MSME office or apply through the WB MSME portal

Submit application with business plan and required documents

Bank assesses viability and processes the loan under Karma Sathi

Loan is disbursed and business can be started with government-backed credit

Aadhaar Card Business Plan Educational/Skill Certificate Bank Account Details Passport Photo Quotation for machinery/equipment (if applicable)

Official Portal & Status Check

Official Portalmsme.wb.gov.in

Step 1Visit the official portal listed above

Step 2Enter your application/registration ID or Aadhaar

Step 3Check application and payment/benefit status online

Karma Sathi Prakalpa has been a turning point for thousands of unemployed youth in West Bengal, enabling them to turn their entrepreneurial ideas into reality without the barrier of collateral. By providing government-backed credit, the scheme is creating a generation of job creators across the state.

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