A central government programme is available if you've always wanted to start your own business but lacked the means to secure investment capital.
The Indian economy is expected to reach $5 trillion in size by 2024. For this objective to become a reality, small and medium-sized businesses must grow. The Prime Minister's Employment Generation Programme (PMEGP) encourages aspiring company owners in starting their enterprises.
The Prime Minister's Employment Generation initiative, a kind of credit-linked subsidy initiative is managed by the Ministry of Micro, Small, and Medium Enterprises (MSME Ministry).
The Khadi Village Industry Commission Nodal Agency (KVIC) has been selected as the nodal agency for implementing this scheme. At the state level, KVIB, KVIC, and District Industries Centre will execute this plan.
Until 2025–2026, the PMEGP has been extended by the government. This programme will generate 40 lakh possibilities for long-term employment over five fiscal years according to the Ministry of Micro, Small, and Medium Enterprises (MSME).
For the duration of the 15th Finance Commission, or from 2021–2022 to 2025–2026, the programme has been extended.
PMEGP aspires to create employment opportunities for young people all across the country by setting up micro businesses in industries other than agriculture. The maximum project cost for the manufacturing sector has risen from the current Rs 25 lakh to Rs 50 lakh. At the same time, for the service sector, it has risen from Rs 10 lakh to Rs 20 lakh.
The general category in rural areas will be given a 25 per cent subsidy. At the same time, this limit is up to 35 per cent for OBC / SC / ST, Minorities and differently-abled people.
Under this scheme, the loan can be taken from any of the 27 banks which include the State Task Force Committee-approved Sarkari Bank, Co-operative Bank, Kshetriya Gramin Bank, and Private Scheduled Commercial Bank. According to the KVIC website, you can fill out an application on the Central Village Industries Commission’s official website to apply for a loan under this scheme. You can apply by visiting www.kvic.org.in or kviconline.gov.in/pmegpeportal.
