PMEGP PRIME MINISTER EMPLOYMENT GENERATION PROGRAMME
The Prime Minister Employment Generation Programme (PMEGP) is a credit-linked subsidy scheme supported by the Government of India. PMEGP is a Ministry of Micro, Small, and Medium Enterprises initiative that is being implemented at the national level by the Khadi and Village Industries Commission (KVIC). This scheme can provide you with the financial assistance needed to start a new project as an entrepreneur.
The PMEGP scheme incorporates two previous schemes: the Prime Minister's Rojgar Yojana (PMRY) and the Rural Employment Generation Programme (REGP), which worked similarly to generate employment for the youth. Under this scheme, the beneficiary is only required to invest 5-10% of the project cost, while the government provides a subsidy of 15-35 % of the project cost based on various criteria. The remaining funds are provided to the entrepreneur as term loans by the participating banks.
The scheme is implemented by the Khadi and Village Industries Commission (KVIC), which serves as the national nodal agency. The scheme is implemented at the state level by State KVIC Directorates, State Khadi, and Village Industries Boards (KVIBs), District Industries Centres (DICs), and banks. In such cases, KVIC routes government subsidies through designated banks for eventual disbursement directly into the beneficiaries’ bank accounts.
