MYSY Loan Amount 2026: Maximum Loan, Margin Money & Subsidy
Maximum Loan by Sector
| Sector | Max Bank Loan | Margin Money Subsidy |
|---|---|---|
| Manufacturing / Industry | ₹25.00 lakh | 25% (30% for SC/ST), capped at ₹6.25 lakh |
| Service Sector | ₹10.00 lakh | 25% (30% for SC/ST), capped at ₹2.50 lakh |
The loan amount you can request depends on which category your project falls into — manufacturing/industrial projects have a higher ceiling than service-sector businesses. The rest of the project cost beyond the loan and margin money is expected to come from your own contribution.
How the Numbers Work Together
Say your project costs ₹20 lakh and falls under industry: the bank can sanction up to that amount as a loan (subject to appraisal), and the state government's margin money subsidy — 25% of the loan, up to ₹6.25 lakh — is credited to reduce your effective repayment burden. The remaining loan amount carries regular bank interest; MYSY is not an interest-free scheme (that's CM-YUVA).
Can I ask for more than ₹25 lakh?
No — ₹25 lakh is the ceiling for industry, ₹10 lakh for service, under MYSY. Larger requirements would need a different financing route.
Do I need to invest my own money too?
Typically yes — banks generally expect the promoter to contribute part of the project cost; the exact share depends on the bank's own lending norms and project appraisal.
Want to know your exact MYSY loan eligibility?
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Official portal: diupmsme.upsdc.gov.in Last reviewed: Aug 2026
This page summarizes publicly available scheme information. For the current official notification, application form and exact eligibility conditions, always confirm on the portal above before applying or filing a claim.