

CHENNAI: The state government has sanctioned and released Rs 10.7 crore towards the establishment expenditure of the Tamil Nadu Urban Livelihoods Mission (TNULM) for seven months, from September 2026 to March 2027, to meet the salaries of 681 staff and ensure the continuation of its activities across urban local bodies.
According to an order issued by the municipal administration and water supply department on Friday, the monthly expenditure is estimated at Rs 1.52 crore. The mission supports 1.71 lakh self-help groups (SHGs), 4,913 Area Level Federations, 90 City Level Federations, 81 City Livelihood Centres and 7,748 group enterprises across 649 urban local bodies.
The funding comes amid concerns over the mission’s financial sustainability after the centre withdrew its funding from October 2024. Until 2023-24, the centre and state shared the expenditure in a 60:40 ratio.
The centre subsequently asked the state to meet human resource costs from its own resources or existing administrative and other expenses funds.
TNULM met these expenses through administrative funds until April 2025, followed by support from the Tamil Nadu Corporation for Development of Women between May 2025 and February 2026. The state had earlier released Rs 12.74 crore towards establishment costs.
Despite no financial allocation being made for TNULM in the revised budget estimates for 2026-27, the mission has been assigned targets, including facilitating Rs 13,750 crore in bank credit for 1.51 lakh urban SHGs, reviving defunct groups, linking 3,500 SHG entrepreneurs with the MUDRA scheme for Rs 105 crore, forming 180 transgender groups covering 1,000 persons and supporting micro-enterprises, among others.