{"id":101244,"date":"2020-11-25T07:19:56","date_gmt":"2020-11-25T07:19:56","guid":{"rendered":"https:\/\/legalwindow.in\/?p=101244"},"modified":"2021-08-11T11:51:16","modified_gmt":"2021-08-11T06:21:16","slug":"all-you-need-to-know-about-prime-minister-employment-generation-programme","status":"publish","type":"post","link":"https:\/\/www.legalwindow.in\/blog\/all-you-need-to-know-about-prime-minister-employment-generation-programme\/","title":{"rendered":"All you need to know about Prime Minister Employment Generation Programme"},"content":{"rendered":"\r\n<p style=\"text-align: justify;\">Prime Minister\u2019s Employment Generation Programme (PMEGP) is a credit-linked subsidy programme launched by the government of India in 2008. It is a merger of two schemes, namely, Prime Minister\u2019s Rojgar Yojna and Rural Employment Generation Programme. The program focuses on generative self-employment chance via micro-enterprise start in the non-farm sector by helping unemployed youth and traditional artisans.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p style=\"text-align: justify;\">The PMEGP Scheme is being implemented by Khadi and Village Industries Commission (KVIC) at the national level and at the State level, the Scheme is being implemented through State Khadi and Village Industries Commission Directorates.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Objectives of Prime Minister\u2019s Employment Generation Programme<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<ul class=\"wp-block-list\">\r\n<li class=\"lists\">Generation of sustainable and uninterrupted self-employment opportunities in urban and rural areas of the country.<\/li>\r\n<li class=\"lists\">Providing sustainable and uninterrupted employment to a large segment of rural and urban unemployed youth, traditional and prospective artisans through the establishment of micro-enterprises.<\/li>\r\n<li class=\"lists\">Facilitating the financial institution\u2019s partaking for higher credit influx to the micro sector.<\/li>\r\n<\/ul>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Eligibility<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<ul class=\"wp-block-list\">\r\n<li>Individuals with age of 18 years or more.<\/li>\r\n<li>VIII passed candidate is required for a project above Rs 5 lakh in the service sector and above Rs 10 lakh in the manufacturing sector.<\/li>\r\n<li>Institutions registered under <a href=\"https:\/\/legalwindow.in\/process-of-society-registration-in-jaipur-rajasthan\/\">Societies Registration<\/a> Act- 1860.<\/li>\r\n<li>Production based co-operative societies.<\/li>\r\n<li>Self-help groups and charitable trust.<\/li>\r\n<\/ul>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Areas of Operation<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<p style=\"text-align: justify;\">The area included in any village and includes the area included in any town. Population should not more than twenty thousand or such other figure as the Central Government may specify from time to time. For the the urban area, only<a href=\"https:\/\/cdn.s3waas.gov.in\/s3e00da03b685a0dd18fb6a08af0923de0\/uploads\/2018\/03\/2018030940-2.pdf\"> District Industries Centres (DIC)<\/a> are included.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Negative list of activities<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<ul class=\"wp-block-list\">\r\n<li class=\"lists\">Businesses\/ Industries linked with sericulture, cultivation, floriculture, horticulture.<\/li>\r\n<li class=\"lists\">Manufacture of containers of recycled plastic\/polythene carry bags of less than 20 microns<\/li>\r\n<li class=\"lists\">Rural transport (except houseboat, shikara, tourist boat in Andaman &amp; Nicobar Islands and in Jammu &amp; Kashmir, auto rickshaw and cycle rickshaw.)<br \/>CNG auto rickshaw will be allowed only in Andaman &amp; Nicobar Islands and North Eastern Region of the country with the prior approval of Chief Secretary of the State on merit.<\/li>\r\n<\/ul>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Margin<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<p style=\"text-align: justify;\">The margin money share is 5% of the cost of the project for special category borrowers and 10% for General category borrowers.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p style=\"text-align: justify;\">Illustration: Suppose Miss Ananya applies to XYZ bank for Rs 10 lakh loan, the bank might finance only 80% of the loan amount (ie Rs 8,00,000\/-). The balance 20% (ie Rs 2,00,000\/-) is called as margin money and Ananya has to make arrangements for the same.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Subsidy<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<ul class=\"wp-block-list\">\r\n<li class=\"lists\">For General Category eligible subsidy is 25% of the cost of the project in rural areas and 15% in urban areas.<\/li>\r\n<li class=\"lists\">For Special Category eligible subsidy is 35% of the cost of the project in rural areas and 25% in urban areas.<\/li>\r\n<\/ul>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"538\" class=\"wp-image-101250\" title=\"All you need to know about Prime Minister Employment Generation Programme\" src=\"https:\/\/legalwindow.in\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1-1024x538.png\" alt=\"Prime minister Employment generation programme\" srcset=\"https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1-1024x538.png 1024w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1-600x315.png 600w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1-300x158.png 300w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1-768x403.png 768w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/All-you-need-to-know-about-Prime-Minister-Employment-Generation-Programme-1.png 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>Quantum of margin money subsidy<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-table\">\r\n<table>\r\n<thead>\r\n<tr>\r\n<td><strong>Categories of beneficiaries<\/strong><\/td>\r\n<td><strong>Beneficiary\u2019s personal contribution (of project cost)<\/strong><\/td>\r\n<td><strong>% of Subsidy<\/strong><\/td>\r\n<td><strong>\u00a0<\/strong><\/td>\r\n<\/tr>\r\n<\/thead>\r\n<tbody>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>\u00a0<\/td>\r\n<td>Urban<\/td>\r\n<td>Rural<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>For General Category<\/td>\r\n<td>10%<\/td>\r\n<td>15%<\/td>\r\n<td>25%<\/td>\r\n<\/tr>\r\n<tr>\r\n<td style=\"border-bottom: 1px solid #000000;\">For Special Category (including SC\/ST\/OBC \/Minorities\/ Women, Ex-Servicemen, Physically handicapped, NER, Hill, and Border areas etc)<\/td>\r\n<td style=\"border-bottom: 1px solid #000000;\">5%<\/td>\r\n<td style=\"border-bottom: 1px solid #000000;\">25%<\/td>\r\n<td style=\"border-bottom: 1px solid #000000;\">35%<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n<\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>How does this scheme work?<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<p>Let\u2019s assume Mr. Brown, a young new entrepreneur from Bangalore Urban, wants to apply for the PMEGP scheme.<br \/>Estimated Project Cost \u2013 Rs 10 lakh<br \/>Mr. Brown\u2019s Contribution (Mandatory as per PMEGP) \u2013 Rs 1 lakh (10% of Rs 10 lakh)<br \/>Amount Received By Mr. Brown \u2013 Rs 9 lakh<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p style=\"text-align: justify;\">Note: The margin money (ie 15% of the Project Cost \u2013 Rs 1,50,000\/-) commonly withheld by the bank will be repay to the bank by KVIC within 24 hours of assent of the PMEGP application. Hence, entrepreneurs like Mr. Brown can get the expected capital to proceed with their venture very easily.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<h3 class=\"wp-block-heading\"><strong>The rate of Interest and Repayment Schedule:<\/strong><\/h3>\r\n<p>\r\n\r\n<\/p>\r\n<p>The normal interest rate is exercisable to the enterprise from time to time. The Loan Repayment Schedule ranges from 3 -7 years.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p><strong>Security:<\/strong><\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p>No auxiliary security nor any third party guarantee is maintain here and any assets created from the bank loan should be hypothecated to Bank.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p><strong>Training<\/strong><\/p>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"330\" class=\"wp-image-101247\" title=\" Prime Minister Employment Generation Programme\" src=\"https:\/\/legalwindow.in\/wp-content\/uploads\/1-1-1024x330.png\" alt=\" Prime Minister Employment Generation Programme\" srcset=\"https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1-1024x330.png 1024w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1-600x193.png 600w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1-300x97.png 300w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1-768x247.png 768w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1-1536x494.png 1536w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/1-1.png 1721w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<p>Two weeks training is mandatory for all the beneficiaries.<strong>Process for applying at PMEGP e-portal<\/strong><\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p>Firstly, visit the website\u00a0<a href=\"https:\/\/my.msme.gov.in\/MyMsme\/Reg\/welcome.htm\" target=\"_blank\" rel=\"noreferrer noopener\">my.msme.gov.in<\/a>\u00a0or\u00a0<a href=\"http:\/\/kviconline.gov.in\/\" target=\"_blank\" rel=\"noreferrer noopener\">kviconline.gov.in<\/a><\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p>Click the link \u201dPrime Minister Employment Generation Programme\u201d or \u201cPMEGP ePortal\u201d<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"370\" class=\"wp-image-101248\" title=\"PMEGP ePortal\" src=\"https:\/\/legalwindow.in\/wp-content\/uploads\/2-1024x370.png\" alt=\"PMEGP ePortal\" srcset=\"https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2-1024x370.png 1024w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2-600x217.png 600w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2-300x108.png 300w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2-768x277.png 768w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2-1536x555.png 1536w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/2.png 1573w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<p>Now, click on \u201cOnline Application Form For Individual\u201d to fill the application form.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"355\" class=\"wp-image-101249\" title=\"Online Application Form For Individual\" src=\"https:\/\/legalwindow.in\/wp-content\/uploads\/3-1024x355.png\" alt=\"Online Application Form For Individual\" srcset=\"https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3-1024x355.png 1024w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3-600x208.png 600w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3-300x104.png 300w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3-768x266.png 768w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3-1536x532.png 1536w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/3.png 1763w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<p>Then PMEGP Application Form will be then visible here.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"547\" class=\"wp-image-101246\" title=\"Then PMEGP Application Form will be then visible here.\" src=\"https:\/\/legalwindow.in\/wp-content\/uploads\/4-1-1024x547.png\" alt=\"Then PMEGP Application Form will be then visible here.\" srcset=\"https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/4-1-1024x547.png 1024w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/4-1-600x321.png 600w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/4-1-300x160.png 300w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/4-1-768x411.png 768w, https:\/\/www.legalwindow.in\/blog\/wp-content\/uploads\/4-1.png 1259w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<p>Guidelines for filling the Online PMEGP Application for an Individual Applicant<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<figure class=\"wp-block-table\">\r\n<table>\r\n<tbody>\r\n<tr>\r\n<td>1<\/td>\r\n<td>Aadhaar Number -12 digit Aadhaar number of the applicant\u00a0<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>2<\/td>\r\n<td>Name of Applicant \u00a0&#8211; \u00a0As per Aadhar Card<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>3<\/td>\r\n<td>Sponsoring Agency &#8211; Agency where the application is to be submitted<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>4<\/td>\r\n<td>State and District<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>5<\/td>\r\n<td>Sponsoring Office\u00a0<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>6<\/td>\r\n<td>Gender and Date of Birth (DD-MM-YYYY)<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>7<\/td>\r\n<td>Select whether Social Category (General Category) \/ Special Category<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>8<\/td>\r\n<td>Educational Qualification :<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>( 8th Pass, Under 8th, 10th Pass, 12th Pass, Graduate, Post Graduate, Ph.D., Diploma)<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>9<\/td>\r\n<td>Address for Communication:\u00a0 The Applicant should fill the complete postal address of the applicant including State, District, Pin Code, Mobile No., Email and PAN No.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>10<\/td>\r\n<td>Unit Location : Select Unit Location (i.e. Rural OR Urban)<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>11<\/td>\r\n<td>Proposed Unit Address : The Applicant should fill the complete Unit address of the unit including Taluka, District, Pin Code<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>12<\/td>\r\n<td>Type of Activity: Select from the activity list (i.e. Service or Manufacturing)<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>13<\/td>\r\n<td>Name of the Activity :<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>1. Industry:\u00a0 Select Industry from the List of Industry<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>2. Product Description:\u00a0 Type the specific product description.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>14<\/td>\r\n<td>Whether EDP Training Undergone : Select Yes Or No from the List<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>15<\/td>\r\n<td>Training Institute&#8217;s Name:\u00a0 If EDP Training Undergone YES, enter Training Institute Name in detail.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>16<\/td>\r\n<td>Loan Required :<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>1. Capital Expenditure: Enter CE loan in rupees.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>2. Working Capital : Enter WC loan in rupees.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>\u00a0<\/td>\r\n<td>3. Total Loan:\u00a0 The total loan will be calculated by the system automatically.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>17<\/td>\r\n<td>Bank Details: Enter IFSC code<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>18<\/td>\r\n<td>After entering the required information, click on \u201cSave Applicant Data\u201d<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>19<\/td>\r\n<td>Upload the documents for final submission<\/td>\r\n<\/tr>\r\n<tr>\r\n<td style=\"border-bottom: 1px solid #000000;\">20<\/td>\r\n<td style=\"border-bottom: 1px solid #000000;\">After final submission, applicant ID and Password will be sent to the Registered Mobile No<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n<\/figure>\r\n<p>\r\n\r\n<\/p>\r\n<p>Applicants seeking for registration have to fill all the required information and click the \u201cSubmit\u201d button to complete the registration process.<\/p>\r\n<p>\r\n\r\n<\/p>\r\n<p>At last, the registered candidates can login to the \u201cPMEGP portal\u201d and can fill the remaining form to complete the application process.<\/p>\r\n<p><\/p>","protected":false},"excerpt":{"rendered":"<p>Prime Minister\u2019s Employment Generation Programme (PMEGP) is a credit-linked subsidy programme launched by the government of India in 2008. It is a merger of two schemes, namely, Prime&hellip;<\/p>\n","protected":false},"author":4,"featured_media":101251,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-101244","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-miscellaneous"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Prime Minister Employment Generation Programme- Legal Window<\/title>\n<meta name=\"description\" content=\"All you need to know about Prime Minister Employment Generation Programme. 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