PM's Employment Generation Programme (PMEGP)

The PMEGP is a credit-linked subsidy program launched by the Government of India in August 2008. It aims to generate employment opportunities by promoting the establishment of micro-enterprises in rural and urban areas. The scheme is implemented by the Khadi and Village Industries Commission (KVIC) at the national level and through District Industries Centres (DICs) and State Khadi & Village Industries Boards (KVIBs) at the state level.

Eligibility:

• Any Indian citizen above 18 years of age.
• Minimum educational qualification of VIII standard pass for projects costing above Rs.10 lakh in manufacturing and Rs.5 lakh in services/business sector.
• No income ceiling for availing benefits.
• Self-Help Groups (SHGs), institutions registered under Societies Registration Act, Production Co-operative Societies, and Charitable Trusts can also apply.

Financial Assistance:

• Subsidy: The government provides a subsidy of 15% to 35% of the project cost depending on the category of beneficiary (general category, SC/ST, etc.) and location (rural/urban).
• Loan: Banks provide loans to cover the remaining project cost.

Activities Covered:

PMEGP supports a wide range of micro-enterprises across various sectors, excluding those in the negative list (available on the official website). Some examples include:

• Food processing
• Textiles
• Handloom and handicrafts
• Leather products
• Metalworking
• Services (tourism, beauty parlors, etc.)

Skill Development:

• The scheme emphasizes skill development for beneficiaries. Free online Entrepreneurship Development Programme (EDP) training is provided to equip them with necessary business management skills.

Institutional Support

• KVIC, DICs, and KVIBs offer guidance and support throughout the application process.
• Assistance is available for obtaining necessary licenses and registrations.
• Banks provide guidance and support for loan applications.

Why Choose PMEGP?

• Government Backing: Benefit from government support and financial aid to launch your business.
• Financial Assistance: Receive subsidy and access bank loans to cover project costs.
• Skill Development: Gain valuable business management skills through free EDP training.
• Self-Employment Opportunity: Become your own boss and build a successful business.
• Local Economic Growth: Contribute to job creation and economic development in your community.

Conclusion

The PMEGP scheme empowers individuals and groups to pursue entrepreneurship by providing financial and skill development support. It's a valuable initiative for those seeking self-employment and contributing to India's economic growth.