Assam Working Capital Interest Subsidy
By Department of Industries, Government of Assam
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Quick Answer
Assam pays 2% interest subsidy on a unit's outstanding working capital loan for five years, up to Rs 50 lakh.
About this subsidy
Clause 14.5 of the Industrial and Investment Policy of Assam, 2019 gives eligible units an interest subsidy of 2% on the outstanding working capital loan for five years.
The benefit is capped at Rs 50 lakh and cannot exceed 100% of the unit's investment in plant and machinery. The subsidy is available only on a working capital loan actually availed from a Bank or Financial Institution — informal or promoter borrowing does not qualify.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
Benefits & Funding
- Amount
- Up to ₹50L
What You Get
Two percentage points of the interest on your outstanding working capital loan are borne by the state for five years. The lifetime benefit is capped at Rs 50 lakh and separately at 100% of what you have invested in plant and machinery, so a capital-light unit will hit the second ceiling first. Only a loan from a Bank or Financial Institution counts — the subsidy is computed on the outstanding balance of that facility.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Non-competitive. The department verifies the bank's certificate of the outstanding working capital loan and the unit's plant and machinery investment, then sanctions 2% within the Rs 50 lakh ceiling.
Application Process
- 1
Register the unit
Obtain eligibility under the Assam industrial policy.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
How much interest relief is given?
2% on the outstanding working capital loan.
For how long?
Five years.
What is the ceiling?
Rs 50 lakh, and the benefit cannot exceed 100% of investment in plant and machinery.
Which loans qualify?
Only an outstanding working capital loan availed from a Bank or Financial Institution.
Is term loan interest covered?
This clause covers working capital loans; it does not extend to term loans.
Is the subsidy paid to me or my bank?
It is an incentive claimed by the unit under the policy's reimbursement process, computed on the outstanding loan.
Sources
Data on this page is compiled from official program and provider references.
