Maharashtra state government launched Jivhala Scheme


  • A loan scheme named Jivhala has been launched by the Maharashtra Department of Prisons for the inmates who are serving sentences in various jails across Maharashtra.
Details Analysis:
  • Maharashtra State Cooperative Bank is offering this newly launched credit scheme that has been named Jivhala. 
  • This credit scheme is a first-of-its-kind scheme that has been launched for prisoners in India. 
  • The existing loan initiatives that are being provided by the banks for the inmates of the nation are for the purpose of rehabilitation only after they complete their prison terms.
  • The pilot for this scheme was launched for the prisoners who are in the Yerawada Central Jail, Pune. 
  • This scheme will be implemented in around sixty prisons in Maharashtra.
  • This scheme has mainly been launched for all those convicted inmates who are in prison facing a sentence of more than three years. 
  • The majority of such inmates are the sole breadwinners of their families and due to them being incarcerated their families have no income sources. 
  • Therefore, this loan will be issued to the family members of such inmates in the inmates’ names.
  • In the initial phase of this scheme, a Rs 50,000 loan will be given. 
  • The interest rate that will be applicable is 7 percent. 
  • Out of the interest that will be earned by the bank, 1 percent will be contributed by the bank to the prisoners’ welfare fund. 
  • For issuing this loan no guarantor or mortgage is required. 
  • The inmates will be able to utilize this loan for the medical treatment of their family members, their children’s education, legal fees, etc.
  • In this scheme’s pilot phase, 230 loan applications are being processed from the Yerawada Central Prison. 
  • Out of the total loan applications, 222 are from males and 8 are from females. 
  • Based on the response that will be received from the pilot project along with the inmates’ creditworthiness, the loan amount can be increased.