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Home / IAS Preparation / Government Schemes of India / SMILE Scheme

SMILE Scheme - Objectives, Features, Benefits, Eligibility, And Other Government Initiatives

Last Updated on Jul 10, 2023
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SMILE scheme's full form is Support for Marginalised Individuals for Livelihood and Enterprise. The Ministry of Social Justice and Empowerment launched it. The SMILE scheme was launched on 12 February 2022. The scheme consists of two sub-schemes: one for transgender persons and one for persons engaged in begging. 

SMILE aims to provide comprehensive support and rehabilitation to marginalized individuals. The scheme includes various measures such as welfare support, medical facilities, counselling, education, skill development, and economic opportunities. 

This topic of the “ Smile Scheme ” is important from the perspective of the UPSC IAS Examination, which falls under General Studies Paper 2 (Mains) and General Studies Paper 1 (Preliminary) and particularly in Social Justice.

Recent News on Anti-Beggary Law

In the latest information, the government has been actively reviewing and amending anti-beggary legal guidelines to ensure a more compassionate and rehabilitative method toward beggars. The recognition is transferring from punitive measures to complete rehabilitation, aiming to break the cycle of poverty and offer sustainable livelihood options for marginalized individuals.

Read an article on poverty and hunger issues here!

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What is SMILE Scheme?

The SMILE scheme aims to assist individuals on the fringes of society by providing support for their livelihood and enterprise. It offers job training, funding, and business advice to equip them with the necessary tools for work and income. The primary objective is to alleviate poverty by creating opportunities for sustainable livelihood and entrepreneurship. The scheme endeavours to empower marginalized individuals and disrupt the cycle of adversity they experience.

Focus of the Scheme

The SMILE scheme focuses on providing financial help to marginalized individuals. This includes Scheduled Castes (SCs), Scheduled Tribes (STs), and Persons with Disabilities (PwDs). The scheme allows them to set up their own enterprises in the following sectors:

  • Agriculture and allied activities
  • Handicrafts and handlooms
  • Micro and small enterprises
  • Tourism and hospitality
  • Information and communication technology (ICT)

The scheme also provides training and capacity-building support to the beneficiaries. The training will be imparted by the NSFDC or by other accredited training institutions. The training will cover topics such as entrepreneurship development, business planning, and marketing.

Read an article on the National Council for Transgender Persons here!

Objectives of the SMILE Scheme

The SMILE Scheme has the following objectives:

  • To provide ability improvement and vocational education to marginalized individuals.
  • To facilitate access to credit and monetary services for setting up and increasing organizations.
  • To create permitting surroundings for entrepreneurship among marginalized groups.
  • To sell sustainable livelihood options for marginalized individuals.
  • To ensure social inclusion and the same possibilities for marginalized communities.

Read an article on the Sahakar Mitra Scheme here!

Features of the SMILE Scheme

The SMILE Scheme provides a range of support to help marginalized individuals. These include:

  • Skill development: The scheme offers training programs to help marginalized individuals develop the skills they need to be employable.
  • Financial support: The scheme provides financial support through loans, grants, and subsidies to help marginalized individuals start their businesses or grow existing ones.
  • Entrepreneurship development: The scheme promotes entrepreneurship among marginalized groups by providing training, mentoring, and assistance with business planning.
  • Market linkages: The scheme helps marginalized entrepreneurs connect with potential customers and access wider product and service markets.
  • Capacity building: The scheme focuses on building the capacity of marginalized individuals through training programs, workshops, and awareness campaigns to improve their knowledge and skills.

Read an article on the Nai Roshni Scheme Here!

SMILE Scheme Eligibility 
  • Individuals belonging to the Scheduled Castes community.
  • The applicant's annual family income should not exceed Rs. 3.00 Lakh.
  • An immediate relative of the deceased person who was the family's primary breadwinner and died due to COVID-19.
  • Acceptable documents as proof of the prime breadwinner's death from COVID-19 include a death certificate issued by the Registrar of Births & Deaths or the local municipal body or a receipt issued by the local authority at the cremation ground/graveyard. In the case of a death in a village, a letter from the village's Block Development Officer (BDO) may also be accepted.

Read an article on the Nishta Scheme here!

Key Benefits of the SMILE Scheme

The SMILE Scheme is a government initiative that provides a range of benefits to marginalized individuals. These benefits include:

  • Enhanced employability: The scheme offers training programs to help marginalized individuals develop the skills they need to be employable.
  • Access to financial resources: The scheme provides financial support through loans, grants, and subsidies to help marginalized individuals start their businesses or grow existing ones.
  • Entrepreneurship promotion: The scheme actively encourages entrepreneurship among marginalized communities. It provides training, mentoring, and assistance in business planning. It supports individuals in setting up and managing their businesses.
  • Market linkages and networking: The scheme facilitates market linkages, connecting marginalized entrepreneurs with potential customers, vendors, and suppliers. This helps them access larger markets, establish valuable networks, and gain product and service exposure.
  • Capacity building and empowerment: The scheme focuses on capacity-building initiatives, such as training programs, workshops, and awareness campaigns. These efforts improve the knowledge, skills, and self-confidence of marginalized individuals. It empowers them to make informed decisions, navigate challenges, and seize opportunities for personal and professional growth.
  • Social inclusion and dignity: By providing comprehensive support, the scheme promotes social inclusion and restores the dignity of marginalized people. It helps break the marginalisation cycle, allowing them to lead meaningful lives and participate actively in society through skill development, financial empowerment, and entrepreneurship promotion. The scheme uplifts people and fosters a sense of belonging and self-esteem.
  • Reduction in beggary: As part of the Scheme for Comprehensive Rehabilitation of Beggars (SCRB), the SMILE Scheme contributes to the reduction of beggary in India. Addressing the underlying causes and providing viable alternatives, these projects offer marginalized individuals a pathway out of beggary, empowering them to build sustainable livelihoods.

Read this article to learn about the PM MUDRA Yojana Here!

Funding Pattern of the SMILE Scheme

The funding pattern of the Support for Marginalised Individuals for Livelihood and Enterprise (SMILE) scheme is as follows:

  • The Government of India will provide a grant of 100% of the project cost, up to a maximum of Rs. 5 lakhs per unit.
  • The NSFDC will provide a loan of up to 90% of the project cost, up to a maximum of Rs. 4.5 lakhs per unit. The interest rate on the loan will be 12% per annum.
  • The beneficiaries will have to contribute a margin of 10% of the project cost.

Read an article on the Production Linked Incentive (PLI) Scheme here!

Sub-Schemes Under SMILE

The SMILE scheme comprises two sub-schemes. Let's take a closer look at these sub-schemes:

Central Sector Scheme for Comprehensive Rehabilitation for Welfare of Transgender Persons

  • Provides scholarships to transgender students from the 9th grade up to post-graduation.
  • Provides skill development programs and livelihood opportunities to transgender individuals.
  • Provides comprehensive healthcare services to transgender individuals, including support for gender-reaffirmation surgeries.
  • Establishes shelter homes called 'Garima Greh' for transgender individuals.
  • Sets up Transgender Protection Cells in each state. These cells monitor cases of offenses against transgender individuals.
  • Develops e-services and other welfare measures to address the needs and concerns of the transgender community.

Central Sector Scheme for Comprehensive Rehabilitation of individuals engaged in the act of Begging

  • Conducts surveys and identifies beneficiaries who are engaged in begging.
  • Undertakes outreach activities to mobilize individuals engaged in begging. It encourages them to avail themselves of the services provided in shelter homes.
  • Establishes shelter homes to provide a safe and supportive environment for individuals engaged in begging.
  • Provides comprehensive support for the rehabilitation and resettlement of individuals engaged in begging. It aims to help them break the cycle of begging and reintegrate into mainstream society.

Read this article to learn about Swachh Bharat Abhiyaan Here!

Status of Beggars in India

Beggary is a good-sized social difficulty in India, with a huge variety of people begging for survival. Here are some key information about the reputation of beggars in India:

  • High Numbers: According to numerous estimates, India has a sizeable populace of beggars strolling into hundreds of thousands.
  • Vulnerability: Beggars are regularly susceptible to exploitation, abuse, and destitution. They face more than one challenge: the loss of entry to training, healthcare, and respectable residing situations.
  • Social Stigma: Beggars are subjected to social stigma and discrimination, exacerbating their marginalisation and restricting their opportunities for a higher life.
  • The cycle of Poverty: Beggary is mostly a result of intergenerational poverty, where people are trapped in a cycle of poverty with restrained avenues for escape.
  • Lack of Rehabilitation: Until the advent of schemes like SCRB, the rehabilitation and guide systems for beggars have been restricted, leading to a non-stop cycle of begging.

Read an article on the Causes of Poverty in India here!

Other Initiatives by Using the Government Towards Beggars

In addition to the SMILE Scheme and SCRB, the government has taken numerous initiatives to deal with the problem of beggary and aid marginalized individuals. Some of those initiatives include:

  • Rehabilitation Programs: Various rehabilitation packages have been initiated to provide vocational schooling, education, and healthcare offerings to beggars, aiming to empower them and reintegrate them into society.
  • Awareness Campaigns: The government conducts consciousness campaigns to train the general public about the challenges faced with the aid of beggars and promote an extra empathetic and inclusive society.
  • Collaboration with NGOs: The authorities collaborate with non-governmental companies (NGOs) to increase help and offerings to beggars, ensuring a more comprehensive approach to their rehabilitation.
  • Legal Framework: Anti-beggary laws have been applied in numerous states to deter and adjust the act of begging while ensuring the safety and welfare of beggars.

Read this article to learn about the PM Kisan Samman Nidhi Scheme here!

Conclusion

The 'SMILE Scheme' helps people with a hard time, like beggars. It gives them tools to support themselves. Things like job training, money help, and business classes are offered. The idea is to break the cycle of poverty. The goal is for people to be able to support themselves and not need help anymore. Teaching skills and offering work gives people choices, so they will only sometimes struggle. Programs like this one can create a fairer society where more people have the chance at a good life.

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Support for Marginalized Individuals for Livelihood and Enterprise FAQs

The SMILE Scheme changed into released by means of the Government of India.

The SMILE Scheme turned into launched in [insert launch date].

The goal of the SMILE Scheme is to offer complete assistance to marginalized individuals, consisting of beggars, for their livelihood and enterprise.

The SMILE Scheme helps marginalized individuals through ability improvement packages, financial assistance, entrepreneurship improvement, market linkages, and ability-constructing initiatives.

The Scheme for Comprehensive Rehabilitation of Beggars (SCRB) is a government initiative aimed at presenting holistic help to beggars, such as rescue, rehabilitation, skill improvement, counseling, and intellectual fitness guide.

SMILE stands for "Support for Marginalized Individuals for Livelihood and Enterprise."
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