The Government of India has launched the Pradhan Mantri Rojgar Generation Program to promote small and medium enterprises. This scheme is for those people who want to start their own business and do not have that much money. Keeping this in mind, a new scheme has been started by the central government. Under this scheme, loans will be given to those who want to start a business. Under this scheme, entrepreneurs will be provided a business loan of up to Rs 50 lakh, out of which up to 35% subsidy will be given.
Objective of the scheme
Pradhan Mantri Rojgar Srijan Karyakram is a financial scheme of the Government of India. Which is run by Khadi and Village Industries Commission (KVIC). The objective of this scheme is to provide financial assistance to youth and small entrepreneurs to start new ventures in rural and urban areas. Under this scheme, you invest a part of the project cost yourself, and the remaining amount is received in the form of bank loan and government subsidy. Under this scheme, the government provides subsidy of up to 35%, which makes it different from other loan schemes.
Scheme Details
| Description | Information |
|---|---|
| Name of the scheme | Prime Minister Employment Generation Programme (PMEGP) |
| Loan Amount | Upto Rs.50 lakh |
| Subsidy Rate | General Category: 15% (Urban), 25% (Rural) Special Category: 25% (Urban), 35% (Rural) |
| Maximum project cost | Construction sector: Rs 50 lakh Service sector: Rs 20 lakh |
| Application Process | Online and offline |
| Eligibility Age | Above 18 years |
| Required Documents | Aadhaar Card, PAN Card, Bank Account Passbook |
Benefits of the scheme
- Every person of India can take benefit of this scheme.
- The educational qualification of the applicant should be at least 8th pass or above.
- The person applying under this scheme will easily get a loan of ₹9 to ₹50 lakh.
- The main advantage of this scheme is that if you get a loan of Rs 10 lakh, you will not have to provide any security for it.
- If the beneficiary of this scheme contributes 5% to 10% then the bank will give you the remaining 90 to 95% amount.
Eligibility for the scheme
- The applicant must be of Indian origin.
- The applicant must be at least 18 years of age or older.
- No member of the family should be in a government job.
- No member of the family should be an income tax payer.
Necessary documents for the scheme
- Passport size photo
- email id
- Mobile Number
- Educational qualification
- project report summary
- details project report
- Education / EDP / Skill Development Training Certificate
- All other required documents
How to apply in the scheme
- To apply for this scheme, you will have to visit the official government website www.kvic.gov.in.
- After that a registration page will open in front of you.
- Fill all the information asked for carefully and scan and upload all the documents.
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- An OTP will be sent to your mobile. Enter it.
- After filling all the information correctly, click on the submit button and take a printout of the application receipt.
How to check the status of the plan
- To check the status of the scheme, one will have to visit the official website.
- After that you click on Application Status option.
- After this a new page will open. In which you will have to enter the application number.
- After entering all the information, you have to click on submit. After this you will get to see the status.
Questions asked in the plan
Who can take PMMY loan?
Any person above the age of 18 years can apply for PMEGP.
How much loan can I get to start a new business?
Under this scheme, the government gives a loan of up to Rs 50 lakh to start a new business.
Which is the 35% subsidized loan?
The beneficiary applicant taking advantage of this scheme is given subsidy by the government, this subsidy is 35 % in rural areas and 25% for urban areas. Under this scheme, loans are given with very few formalities.