Khadi and village industries commission (KVIC) is an agency that implements at the national level. Therefore, state and district level, state officers of KVIC, Khadi and village industries boards (KVIBs) and district industry centers (DIC) that helps in developing the agencies.
Prime Minister Employment Generation Programme (PMEGP)
The government of India introduced a new subsidy programme called as called Prime Minister’s Employment Generation Programme (PMEGP). They have combined two schemes that were in operation till 31.03.2008 those are Prime Minister’s
Rojgar Yojana (PMRY) and Rural Employment Generation Programme (REGP) created many opportunities to all the unemployment people. This can be done by establishing micro-enterprises in rural and urban areas. Therefore, the scheme will be performed by the Khadi and Village Industries Commission (KKVIC) is controlled by the MSMS at the national level. However, at the state level, the scheme will be generated by the KVIC Directorates, State Khadi and Village Industries Boards (KVIBs) and District Industries Centers (DICs) and banks. They are going to provide training in entrepreneurship development.
What are the objectives of the (PMEGP?)
To develop the traditional artisans in both the rural and urban areas they have to provide employment to the youth. To provide continuous and stable employment to a large section of traditional and future artisans in rural and urban unemployed youth in the country. However, it helps in arrest migration of rural youth to urban areas.
Who are eligible for this program and who is not?
This program contains some eligibility criteria, gives way to develop new projects have been sanctioned by the authorities. The candidate should be older than 18 years in order to reviewer to receive help who are under this programme. The programme does not provide any higher income as far as granting assistance is concerned.
The applicants should study at least until the eighth standard. They allocated INR 10 lakh for the purpose of the manufacturing sector. Whereas, business or service sector projects, which exceeds INR 5 lakh and self- help groups support under the programme.
However, it is applicable to all the BPL families and is not beneficiary for other similar programs. All the institutions have been registered under the Societies Registration Act, 1860 which is eligible for the support under PMEGP. This programme is not only open to charitable trusts but also to the cooperative societies. If an existing unit is already seen as a beneficiary of the REGP, PMRY or any other similar programme of Indian Government or state government reduces ineligible. This is applicable for the entire subsidy received from the central government or a state government.
Documents required for PMEGP?
If you are interested in PMEGP scheme and ready to apply it through online, then you have t upload some documents which are given the list below such as:
- Passport Size photo
- Aadhaar card
- Population certificate
- EDP training certificate
- High Education certificate
What are the benefits of the PMEGP?
- The maximum cost of the project which acceptable under the manufacturing sector is Rs. 25 lakh and under the business sector, it costs around Rs. 10 lakh.
- Per capita invests and should not exceed Rs. 1.00 lakh in plain areas and Rs 1.50 lakh under the hilly areas.
- It owns contributes around 55 to 10% of the project cost.
Quantum of Margin Money Subsidy is given as follows:
|Categories of beneficiaries under PMEGP||Beneficiary’s own contribution (of project cost)||Rate of Subsidy|
|Area (location of project /unit)||Urban||Rural|
|Special (including SC/ ST/ OBC/ Minorities/ Women, Physically handicapped, Ex-Servicemen, NER, Hill and Border areas etc.||05%||25%||35%|
How to apply online for PMEGP Loan
People who are interested to apply for PMEGP loan can follow some of the steps given below:
- You have to fill the details required for the loan that can be applied under PMEGP.
- Individual applicants can apply online application form under the scheme of PMEGP by click on https://www.kviconline.gov.in/pmegpeportal/jsp/pmegponline.jsp you will then get the form you have to fill the required details in it.
- Applications who are non-individual can apply through online of PMEGP https://www.kviconline.gov.in/pmegpeportal/jsp/pmegponlineAppType.jsp .
- Now in this PMEGP application form, you have to give all the details like name, number, district, taluka, date of birth, education qualification, mobile number etc.
- Once the form is filled you have to save all the details, then you can see a pop-up window that opens your browser, where you need to click ok.
- You have to upload the important documents such as passport size photograph, certificates, a training certificate and higher educational certificates.
- Once you have submitted your document you need to click on final submission option to get the final submission.
- If you want to update your application’s information, then click on the Application Data Update option that is done in the final submission.
Offline application for PMEGP loan in Bank
If you want to take a loan under the PMEGP scheme you can apply through offline application and list of the banks are given below those are
- Central Bank of Indian
- Syndicate Bank
- Vijaya Bank
- Andhra Bank
- UCO Bank
- Dena Bank
PMEGP online application status
If you want to know the status of the online application form you have to visit PMEGP official website https://www.kviconline.gov.in/pmegpeportal/pmegphome/index.jsp .
Who are blacklisted under PMEGP loan?
People who are blacklisted enterprises under PMEGP loan those are:
- Enterprises are related to meat dealing out and trade.
- Project are related to intoxicants like cigarettes and tobacco
- BY manufacturing Polythene covers which is less than 20 microns.
- Enterprises related to Pashmina wool.
Details of PMEGP loan allocations
Following are the features of the loans allocated under PMEGP loan scheme:
PMEGP Loan Margin
Loan margins mostly depend on the type of projects. Loan margins mostly depend on the category of the applicants like SC or ST applicants who gets relaxations on the margin.
PMEGP loan interest rate
The interest rates are charged under the PMEGP scheme would be 11-13% a year, which is equal to Micro and Small industries.
PMEGP loan Tenure
Each and every bank has an n number of methods to repay the tenure. The repayment of loans availed under this scheme is 3-7 years.
Margin money is deposited under-saving bank account which is linked to the loan account, by lock-in period of 3 years. Therefore, in the end, this amount is adjusted with the loan amount or released as per the applicant’s wishes.
Operating expenditure is necessary and is equal to the cash credit limit and it happens only when the margin money is locked and at least, 75% of the sanctioned amount must and should be mandatorily be used.