Prime Minister Narendra Modi is set to deliver a major gift to Bihar’s Jeevika Didis on September 2, 2025. The Prime Minister will virtually inaugurate the Bihar State Jeevika Nidhi Branch Cooperative Federation Limited through video conferencing. On this occasion, he will also transfer ₹105 crore into the account of the newly formed cooperative institution. Before his scheduled visit to Purnea on September 13, Modi’s announcement marks a significant step toward empowering rural women in the state.
Jeevika Bank Inauguration and Fund Transfer
At 12:30 PM on September 2, the virtual inauguration ceremony of the cooperative federation will take place. Prime Minister Modi will formally launch the institution, transfer the ₹105 crore fund into its bank account, and address the gathering. The initiative aims to strengthen women associated with Jeevika by offering them easier and cheaper access to financial resources.
The cooperative body is designed to provide financial services at low-interest rates to women entrepreneurs connected with Jeevika. All registered cluster-level federations of Jeevika will be part of this initiative. Funding will come jointly from the Bihar government and the central government.
Empowering Women Through Financial Inclusion
Over the past years, women associated with self-help groups under Jeevika have successfully transitioned into entrepreneurs. They have established small businesses and production companies across rural Bihar, creating a wave of economic empowerment. However, a major challenge persisted in the form of high-interest loans offered by microfinance institutions. These institutions often charged interest rates ranging from 18 percent to 24 percent, creating financial burdens for women-led businesses.
The new Jeevika Nidhi is expected to bridge this gap. It will provide large loans at lower interest rates, reducing the dependence of rural women on high-cost borrowing. This approach will not only relieve financial stress but also allow women to reinvest in business expansion, education, and family welfare.
Digital-First Platform for Transparency
Jeevika Bank will operate entirely on a digital platform to ensure quick, transparent, and hassle-free transactions. To support this initiative, 12,000 community cadres are being provided with tablets. These trained cadres will assist Jeevika Didis in accessing digital financial services, helping them to overcome barriers such as digital illiteracy and lack of infrastructure.
By creating a fully digital ecosystem, the institution will eliminate bureaucratic delays and minimize the risk of corruption. The transparent structure will help build trust among rural women, many of whom are venturing into formal banking for the first time.
Benefits for Rural Women Entrepreneurs
The establishment of this cooperative bank will directly impact thousands of self-help groups across Bihar. Women entrepreneurs will gain access to easier credit facilities, enabling them to expand existing businesses or start new ventures. Affordable credit will encourage innovation in rural industries such as handicrafts, dairy, agriculture, and small-scale manufacturing.
Financial inclusion will also create ripple effects in local economies. As women become financially stronger, households benefit from improved education, healthcare, and nutrition. Rural communities are expected to witness higher levels of prosperity and stability.
Reducing Dependence on Microfinance Institutions
One of the core objectives of the Jeevika Nidhi is to reduce women’s reliance on microfinance institutions. For years, rural women had no option but to borrow from MFIs despite exorbitant interest rates. With the new cooperative structure, women will receive loans at competitive rates, making repayment easier and reducing the risk of debt traps.
This change is expected to significantly alter Bihar’s microfinance landscape. Instead of being trapped in cycles of high-interest repayments, women can now channel resources into productive activities. This will ultimately lead to sustainable economic empowerment.
Government’s Role and Policy Support
The Jeevika Nidhi cooperative has been launched under the joint initiative of the Bihar government and the central government. Both administrations are committed to funding and supporting the institution. This collaboration demonstrates the emphasis on women’s empowerment as a key pillar of India’s rural development strategy.
By focusing on women-led entrepreneurship, the initiative also aligns with broader national programs such as Digital India, Atmanirbhar Bharat, and the push for inclusive economic growth. The cooperative model ensures that women are not just beneficiaries but active stakeholders in rural development.
Large-Scale Participation Expected
The virtual launch is expected to witness wide participation across the state. Around 20 lakh women from different districts of Bihar are anticipated to watch the live inauguration event. The massive turnout highlights the importance of this initiative for rural communities.
The involvement of lakhs of women also underlines how Jeevika has grown into a movement over the years. What started as a self-help group program has now evolved into a state-wide platform driving women-led development.
Impact on Community-Led Enterprises
Beyond individual empowerment, the Jeevika Nidhi cooperative is expected to boost community-led enterprises. Many rural women are already part of cooperative businesses, small farmer producer organizations, and handicraft collectives. Easy access to financial resources will enable these groups to scale up operations and compete in wider markets.
The ripple effect of affordable credit will be felt not only in increased income but also in enhanced community solidarity. Shared ownership and participation in such initiatives often strengthen the social fabric of villages.
A Step Toward Long-Term Rural Transformation
The launch of the Jeevika Nidhi cooperative is more than just a financial intervention. It is part of a broader vision to transform rural Bihar by empowering women to take leadership roles in economic activities. By ensuring access to affordable loans, digital services, and transparent banking, the initiative promises long-term growth.
Women’s financial independence often translates into stronger voices in household and community decisions. This transformation can redefine gender roles in rural Bihar, ensuring more inclusive and sustainable development.
Prime Minister Narendra Modi’s inauguration of the Bihar State Jeevika Nidhi Branch Cooperative Federation Limited marks a historic moment for women’s empowerment in Bihar. By transferring ₹105 crore into the bank account of the cooperative, Modi has set the foundation for a new era of financial inclusion.
The digital-first cooperative will provide affordable loans, reduce dependence on microfinance institutions, and open new opportunities for rural women entrepreneurs. With 12,000 community cadres supporting digital access and 20 lakh women expected to participate in the launch, this initiative symbolizes collective progress.
The Jeevika Nidhi cooperative is not just a financial institution but a catalyst for rural transformation. It is expected to empower women, strengthen communities, and contribute to Bihar’s economic growth.
