Ministry of Micro, Small & Medium Enterprises
Ministry of MSME is implementing Prime Minister’s Employment Generation Programme (PMEGP) since 2008-09 through Khadi and Village Industries Commission (KVIC) as nodal agency at the national level for generating employment opportunities in the country by setting up micro-enterprises in non-farm sector.
Under PMEGP, General Category beneficiaries can avail of Margin Money subsidy of 25 % of the project cost in rural areas and 15% in urban areas. For Special Categories such as SC/ST/OBC/minorities/women/ex-serviceman/physically handicapped /NER/Hill and Border areas, etc., the Margin Money subsidy is 35% in rural areas and 25% in urban areas. Maximum project cost for manufacturing unit is Rs.25 lakh and for service sector is Rs.10 lakh.
Since its inception upto 31.12.2021, about 7.38 lakh new micro units have been assisted utilizing margin money subsidy of Rs.17819.23 cr. generating estimated employment opportunities for about 60.60 lakh persons
The scheme has been successful in generating rural employment spread across various social categories. Around 80% of the PMEGP units have been set up in rural areas and about 50% of the units have been set up by SC/ST/Women entrepreneurs. Target set and achievement made under the PMEGP Scheme in the country during the last three years and current year as on 27.01.2022 is given below:
|( Margin Money :- Rs. in lakh)|
|No. of Units assisted||Margin Money disbursed||Estimated Employment Generated||No. of Units assisted||Margin Money disbursed||Estimated Employment Generated|
|2021-22 (as on 27.01.2022)||92666||285000.00||741328||60180||185122.76||370840|
State/UT-wise number of Women beneficiaries benefitted under PMEGP scheme during last three years and current year is given at Annexure.
Following steps have been taken for the effective implementation of PMEGP:
- The process of application flow, including bank sanctions and disbursement, has been made faster and transparent through introduction of on-line portal.
- The process of selection of entrepreneurs has been further streamlined with the discontinuation of the role of District Level Task Force Committee (DLTFC) since April, 2020, in recommending proposals/applications to financing banks. In the revised scenario, the proposals are now sent directly by Implementing Agencies to financing banks based on a Score Card model, thereby reducing the overall approval period.
- Organizing of Entrepreneurship Training Programme (EDP), mandatory before disbursal of loan by Banks, has been made online since October 2019 to provide expedited training and release of loan to the beneficiaries.
- Free two day online pre- EDP training has been introduced for interested applicants.
- The list of activities has been expanded to attract entrepreneurs for setting up diverse units.
- Implementing Agencies like Khadi and Village Industries Commission (KVIC), State Khadi and Village Industries Board (KVIB) and District Industries Centres (DICs) are providing handholding to applicants, through call centres, online tutorials as well as with help desks with banking and marketing experts.
- Sector/industry wise webinars are also being organized every Sunday involving industry experts and banks with participation of more than 300,000 prospective applicants.
|No. of Women beneficiaries assisted under PMEGP during last three years and Current Year (as on 27.01. 2022)|
Name of State/UT
(as on 27.01. 2022)
|1||Jammu & Kashmir||2449||1861||3235||5982|
|25||A & N Islands||51||17||42||25|
This information was given by Union Minister for Micro, Small and Medium Enterprises, Shri Narayan Rane in a written reply in Lok Sabha today.