Prime Minister’s Employment Generation Programme (PMEGP)

Description

The Prime Minister’s Employment Generation Programme (PMEGP) is administered by the Khadi and Village Industries Commission (KVIC) as the primary national agency. At the state level, the programme is managed through State KVIC Directorates, State Khadi and Village Industries Boards (KVIBs), District Industries Centres (DICs), and banks. Under this scheme, KVIC channels government subsidies through designated banks, which then disburse the funds directly to the beneficiaries' bank accounts.

The scheme covers a maximum project cost of up to ₹25 lakhs for manufacturing units and ₹10 lakhs for business or service sectors.

Subsidy Rates

The subsidy provided under PMEGP varies based on the location of the project and the category of the beneficiary:

Beneficiary Category	Urban Areas	Rural Areas
General	15%	25%
Special (including SC/ST/OBC/Minorities/Women, Ex-servicemen, Physically Handicapped, North Eastern Region, Hill and Border areas, etc.)	25%	35%

The remaining project cost will be financed by banks through term loans and working capital.

Eligibility Criteria

Individuals who are at least 18 years old at the time of application are eligible to apply. For projects costing more than ₹10 lakhs in the manufacturing sector or more than ₹5 lakhs in the business/service sector, applicants must have completed at least the VIII standard. The scheme is intended for new projects only. Self-Help Groups (SHGs), institutions registered under the Societies Registration Act of 1860, production co-operative societies, and charitable trusts are also eligible. Existing units under other government schemes or those that have already received government subsidies under different schemes are not eligible.

Application Process

To apply, interested parties can find local advertisements published by the State/Divisional Directors of KVIC in consultation with KVIB and the Director of Industries of the respective states (for DICs). These advertisements will be available in print and electronic media, inviting applications along with project proposals. Applications can also be submitted online at KVIC Online. After submitting the online application, a printout must be obtained and submitted to the relevant offices along with a detailed project report and other necessary documents.

Contact Information

For more information, you can contact:

• State Director, KVIC
  Address available at KVIC Official Website
• Deputy CEO (PMEGP), KVIC, Mumbai
  Phone: 022-26714370
  Email: dyceoksr@gmail.com