The Rajasthan Investment Promotion Scheme 2024 pays back part of the interest on loans for plant, machinery and equipment for 7 years, and the MSME Policy 2024 adds up to 2% more for eligible units. SABloan arranges the term loan with a partner bank and helps you claim the benefits.
The Rajasthan Investment Promotion Scheme 2024 (RIPS 2024) is the State Government's main incentive scheme for businesses that invest in Rajasthan. It runs until 31 March 2029. For micro, small and medium enterprises (MSMEs), its most useful benefit is interest subvention: the government pays back part of the interest on the loan you take for plant, machinery, equipment or apparatus, every year for 7 years. On top of that, the Rajasthan MSME Policy 2024 gives an additional interest subsidy to women and SC/ST entrepreneurs, young entrepreneurs, ODOP units and units in backward areas. The scheme is run by the Department of Industries & Commerce through the District Industries & Commerce Centre (DIC).
On term loans for plant, machinery, equipment or apparatus. The rate applies slab by slab, not to the whole loan.
| Loan slab | RIPS 2024 | MSME Policy 2024 (extra) | Total | Period |
|---|---|---|---|---|
| Up to ₹5 crore | 6% p.a. | 2% p.a. | Up to 8% p.a. | 7 years |
| ₹5 crore – ₹10 crore | 4% p.a. | 1% p.a. | Up to 5% p.a. | 7 years |
| ₹10 crore – ₹50 crore | 3% p.a. | 0.5% p.a. | Up to 3.5% p.a. | 7 years |
*The extra MSME Policy 2024 subsidy is only for eligible categories (see below) and only after the RIPS 2024 interest subvention is approved. Khadi units get RIPS interest subvention for 10 years. Rural tourism and agro-based units get 1% more on loans up to ₹25 lakh. Subvention cannot exceed the interest actually charged.
A woman entrepreneur in Udaipur takes a ₹50 lakh machinery loan at 10% interest. Under RIPS 2024 she gets 6% back, and under the MSME Policy 2024 another 2%. Her effective interest cost falls to about 2% a year for 7 years, subject to approval and quarterly claims.
Reimbursement of 75% of the State GST you pay in cash, for 10 years (standard asset creation option).
100% of the annual guarantee fee on collateral-free loans under ₹5 crore, for 7 years, for eligible categories.
100% exemption from state electricity duty for 7 years.
75% exemption and 25% reimbursement of stamp duty and land conversion charges.
50% of the employer's EPF and ESI contribution reimbursed for 7 years, for Rajasthan-domiciled employees.
Agro & food processing units: 50% of capital investment up to ₹1.5 crore. Plastic-alternative makers: 50% up to ₹40 lakh.
Total MSME incentives are capped at ₹5 crore a year. Some benefits are alternatives to each other — we help you choose the best combination for your project.
Not covered: pure retail or trading, tobacco and pan masala, cow/beef processing, city gas distribution and any activity banned by law.
After your RIPS 2024 interest subvention is approved, you can get the additional subsidy if your enterprise is:
Apply within 6 months of the RIPS 2024 approval.
We assess your project, prepare the project report and arrange the machinery term loan with a partner bank.
Apply for the RIPS 2024 entitlement online. The DIC (for MSMEs) examines and approves the application.
Eligible units apply for the additional interest subsidy and CGTMSE fee reimbursement at the DIC.
Interest subsidy is claimed every quarter with a CA certificate and the bank's interest statement.
6% a year on loans up to ₹5 crore, 4% on the ₹5–10 crore slab and 3% on the ₹10–50 crore slab, for 7 years, on loans for plant, machinery, equipment or apparatus.
Under the Rajasthan MSME Policy 2024, women and SC/ST entrepreneurs, entrepreneurs aged 18 to 45 setting up a new unit, ODOP units and units in Area Category 3 get an extra 2% on loans up to ₹5 crore, on top of RIPS 2024.
Yes, for expansion, diversification or modernisation, if the new investment is at least 25% of the existing investment and capacity rises by at least 20%.
No. Pure retail and trading are not eligible. Manufacturing and service enterprises are.
After approval, the unit claims the subsidy every quarter with a CA certificate and the bank's interest statement. The additional MSME Policy subsidy is paid after the RIPS 2024 subsidy for that quarter is released.
We arrange the machinery or term loan with a partner bank, prepare the project report, and help with the RIPS 2024 and MSME Policy applications and quarterly claims. SABloan is a Direct Selling Agent; loan sanction is at the bank's discretion and incentives are approved by the government.
SABloan is a brand of ABFin Advisory Private Limited, acting as a Direct Selling Agent (DSA) for its partner banks; it is not a lender. Loans are sanctioned at the sole discretion of the lender. Incentives under RIPS 2024 and the Rajasthan MSME Policy 2024 are approved and released by the Department of Industries & Commerce, Government of Rajasthan, as per the scheme guidelines and amendments in force; SABloan does not approve or release any incentive. Details shown are a summary and may change — the official notification prevails.
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