Mukhyamantri Udyami Yojana: Selected? Training, Current Account, Utilisation Certificates and the Three Instalments (2026)
Selection under Bihar’s Mukhyamantri Udyami Yojana is the start, not the finish. The money comes in three instalments, and each one is released only after you finish the training, spend at least 90% of the last instalment and upload a utilisation certificate (UC) with bills and photos within 90 days. Miss these steps and the next instalment stops; misuse the money and the whole amount is recovered at once. This guide walks a 2025-26 beneficiary through each step, from the first ₹2 lakh to the loan repayment.
Deadline alert: the department’s notice of 23 October 2026 gives beneficiaries of 2022-23, 2023-24 and 2024-25 a final chance to upload pending UCs by 10 November 2026.
The scheme in brief
| Point | 2025-26 terms |
|---|---|
| Assistance | Up to ₹10 lakh, as fixed by the department’s model project report for your project |
| Grant | 50%, up to ₹5 lakh |
| Loan | 50%, up to ₹5 lakh; interest-free for SC/ST, EBC, women and minority components, 1% for the Yuva component |
| Repayment | 84 monthly instalments, starting one year after the final instalment, paid through the portal |
| Components | SC/ST, EBC, Mahila, Yuva, Alpsankhyak and, new this year, Divyangjan |
| Seats | 9,347: 2,000 each for SC/ST, EBC, Yuva and Mahila, 1,247 minority and 100 Divyangjan |
| Eligibility | Bihar resident, age 18 to 50, at least 10+2, ITI or polytechnic; unit in your home district |
For 2025-26, applications ran from 25 February to 23 March 2026, the lottery was held on 20 May, and the final list came on 11 June 2026. First instalments of ₹2 lakh each were released on 8 October 2026.
Step by step after selection
- Phase 1 training, 6 days. The training institute will send the date and venue by email or phone. You get two chances; miss both and your selection is cancelled. Day 2 covers uploading UCs and repaying the loan, so attend it carefully.
- Open a current account in the unit’s name. The money comes only by bank transfer to this account. For a proprietorship the unit runs on your own PAN; a partnership, LLP or company needs its own PAN.
- Spend the first instalment as allowed. Up to ₹1.5 lakh on site preparation, ₹25,000 on the electricity connection and safety kit, and ₹25,000 on other items. Rent advance is limited to six months’ rent or ₹50,000, whichever is lower, and is not allowed if you rent from a parent or grandparent.
- Upload the first UC within 90 days. The area officer verifies it and the General Manager of the District Industries Centre accepts it.
- Phase 2 training, 6 days. If you miss both chances, the next instalment is held back.
- Second instalment: buy the machinery. Only purchases on a GST invoice count, and you must pay the supplier’s firm online. You may vary up to 25% of the listed machinery cost, and you can buy a better machine if you pay the extra yourself.
- Upload the second UC within 90 days. The third instalment follows on the GM’s recommendation.
- Third instalment and the final UC. Once it is accepted, your loan repayment starts a year later.
What goes into a utilisation certificate
- Expense vouchers with GST bills for everything bought.
- Photos of the machinery.
- Photos of the worksite with GPS location.
- Bank statement showing the payments. Any payment above ₹10,000 must be made online; cash payments above ₹10,000 are not accepted.
The next instalment can be recommended once 90% of the current one is spent. You get two chances to upload the UC for the second and third instalments.
Mistakes that stop the money
- Paying suppliers in cash, or buying machinery without a GST invoice.
- Rent paid to your own family, or rent advance above the limit.
- Photos without GPS location, or a site that does not match your application.
- Changing the project. The project cannot be changed after you apply.
- Missing the 90-day UC window. If no unit is set up or money is misused, the department recovers the full amount at once under the Bihar Public Demands Recovery Act.
After the unit starts
Once the unit is running you are a business like any other. Keep proper books from the first day, because the UC bills and bank statement are also your accounts. Register for GST if your turnover will cross the threshold or your buyers want GST bills, and take Udyam registration for MSME benefits. File an income tax return every year; banks and the department will both want it before any further support.
Frequently asked questions
How much is the first instalment of Mukhyamantri Udyami Yojana 2025-26?
₹2 lakh, released on 8 October 2026, for site preparation, electricity, safety kit, other items and rent advance within set limits.
When must I upload the utilisation certificate?
Within 90 days of each instalment, on the beneficiary portal udyamiuser.bihar.gov.in.
When do I start repaying the loan?
One year after the final instalment, in 84 monthly instalments through the portal.
TAXAJ’s Bihar branch helps Udyami Yojana beneficiaries with the current account paperwork, bills and UCs, GST and Udyam registration, books and income tax returns. Talk to our Bihar team in Darbhanga, or see our Udyam registration and project report services. The scheme’s official helpline is 1800 345 6214.
Last updated 26 October 2026. Sources: Mukhyamantri Udyami Yojana guideline for 2025-26 (Annexure II, MSME Directorate, Department of Industries, Bihar); scheme FAQ on udyami.bihar.gov.in; portal notices on application dates, the lottery, the final list and the UC deadline of 10 November 2026; reports in Amar Ujala of the first instalment released on 8 October 2026. General information only; follow the latest notice on the official portal.
