The Assam State Cabinet on Saturday, July 26, 2026, approved the waiver of stamp duty on individual loan documents executed by Self-Help Group (SHG) members for loans up to Rs 10 lakh, obtained from various financial institutions for livelihood and enterprise purposes. The decision, taken at a meeting chaired by Chief Minister Himanta Biswa Sarma in Guwahati, aims to significantly reduce the financial burden on rural women entrepreneurs across the state. This move is expected to boost rural entrepreneurship and expand financial inclusion by making institutional credit more accessible and affordable for SHG members. The Chief Minister indicated that the waiver is anticipated to benefit approximately 40 lakh women, aligning with the state government’s broader vision of creating “Lakhpati Didis” or prosperous sisters.

What was announced

The Assam Cabinet, during its meeting on July 26, 2026, formally approved the waiver of stamp duty on loan documents for Self-Help Group members. Chief Minister Himanta Biswa Sarma, addressing a press conference after the cabinet session, confirmed that this waiver applies to individual loan documents for amounts up to Rs 10 lakh. These loans must be obtained for livelihood and enterprise purposes from scheduled commercial banks, regional rural banks, cooperative banks, or other financial institutions regulated by the Reserve Bank of India. The initiative falls under the ambit of the Assam State Rural Livelihoods Mission (ASRLM). In addition to the stamp duty waiver, the cabinet also greenlit several other key proposals. These included the approval of the Assam Ayurvedic Health Services Rules, 2026, which will regulate the recruitment and service conditions for Medical Officers (Ayurveda). The cabinet also mandated the compulsory registration of various property-related agreements, such as agreements for sale, development agreements, property-related powers of attorney, short-term leases, equitable mortgages, sale certificates, bank guarantees, and conveyances through merger and demerger and partnerships involving immovable property. Furthermore, amendments to the rules governing admission into first-year MBBS and BDS courses in Assam’s medical and dental colleges were approved, including additional seats for specific communities and reservations for domiciled orphan candidates.

Why it matters

The waiver of stamp duty is a critical step towards easing the financial entry barriers for rural women seeking institutional credit. Stamp duty is a state-levied tax on legal documents, including loan agreements, and typically represents a percentage of the transaction value. While seemingly a small fraction, this upfront cost can be a significant hurdle for micro-entrepreneurs and low-income borrowers in rural areas. By eliminating this expense, the state government aims to make formal borrowing simpler, cheaper, and more appealing to thousands of women engaged in diverse livelihood activities such as farming, food processing, weaving, tailoring, livestock rearing, and handicrafts. This measure is expected to reduce the overall transaction costs associated with securing loans, thereby enhancing access to credit and fostering greater participation in income-generating activities. Chief Minister Sarma highlighted the government’s commitment to empowering women and building a strong, viable community of “Lakhpati Didis” through such supportive policies.

Background

Self-Help Groups have emerged as foundational pillars of rural development and women’s empowerment in Assam over the past decade. These community-based collectives enable members, predominantly women, to cultivate a habit of regular savings, access credit, receive skill development, and collectively undertake livelihood activities. The Assam State Rural Livelihoods Mission (ASRLM), formed in 2011, plays a crucial role in mobilizing and strengthening these SHGs, linking them with banks and government-supported financial schemes. As of 2022, Assam boasted over 2.73 lakh SHGs, encompassing 31.95 lakh households, demonstrating the extensive reach and impact of these groups in the state’s rural landscape. The state government has consistently introduced schemes to support women and SHGs. Notable initiatives include the Swanirbhar Naari Abhiyan, which provides revolving funds, community investment funds, and bank linkage loans at zero percent interest, with the government covering interest subsidies. Another significant programme is the Mukhya Mantri Mahila Udyamita Abhiyaan, launched in April 2025, which targets around 30 lakh women entrepreneurs by providing seed capital of Rs 10,000 in the first year, followed by subsidized bank-linked loans of Rs 25,000 in the second year, and Rs 50,000 in the third year for successful entrepreneurs. The government has also implemented microfinance incentive and relief schemes in the past, providing loan waivers and financial assistance to women borrowers. The state government’s efforts extend to tackling issues like illegal moneylending, with Chief Minister Sarma announcing initiatives in February 2024 to eliminate loan sharks and declare money taken as interest by such lenders as free. These measures collectively underscore Assam’s commitment to fostering a supportive financial ecosystem for its rural population, particularly women.

Key details

The stamp duty waiver is specifically designed for:
  • Beneficiaries: Members of Self-Help Groups (SHGs) operating under the Assam State Rural Livelihoods Mission (ASRLM).
  • Loan Amount: Loans up to Rs 10 lakh.
  • Loan Purpose: Exclusively for livelihood and enterprise activities.
  • Lending Institutions: The waiver applies to loans obtained from Scheduled Commercial Banks, Regional Rural Banks, Cooperative Banks, and other financial institutions regulated by the Reserve Bank of India.
This policy directly addresses the transaction costs associated with formal credit, making it more attractive for SHG members to access institutional finance for their entrepreneurial ventures.

Reactions

Chief Minister Himanta Biswa Sarma expressed strong support for the cabinet’s decision, highlighting its anticipated positive impact on women’s economic empowerment. On July 27, 2026, the Chief Minister posted on social media:

“Assam has WAIVED OFF stamp duty charges on loan & business expansion for all members of women Self Help Groups, either in groups or individually. 40 lakh women are expected to benefit. We are making every effort to build a strong viable community of Lakhpati Didis.”

This statement underscores the government’s commitment to the initiative and its expected broad reach across the state’s women SHG members.

What’s next

The stamp duty waiver is effective immediately following the cabinet’s approval on July 26, 2026. This measure is expected to work in conjunction with other ongoing government initiatives aimed at strengthening SHGs, including capacity-building programmes, entrepreneurship development, market linkages, and financial literacy training. The state government will continue its efforts to create an enabling environment for women-led enterprises to grow sustainably, contributing significantly to household incomes and local economic development, with the ultimate goal of fostering a large community of “Lakhpati Didis” in Assam.

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