About the Scheme
PMEGP provides credit-linked subsidy for setting up micro-enterprises in non-farm sector. Merged REGP and PMRY into one programme in 2008. Subsidy: 15-35% for general; 25-35% for SC/ST/women/minorities. Maximum project cost: ₹50 lakh (manufacturing), ₹20 lakh (service). 9.9 lakh+ units since inception; 79.4 lakh jobs.
Target Beneficiaries: Micro-entrepreneurs; 9.9 lakh+ units; 79.4 lakh employed; SC/ST/women priority
Key Features
- Subsidy: 15% urban/25% rural for general category; 25%/35% for SC/ST/women/minorities/physically challenged
- Project cost: up to ₹50 lakh (manufacturing) and ₹20 lakh (service/trading)
- 9.9 lakh+ micro-enterprises established; 79.4 lakh employment generated since 2008
- Implemented by KVIC (Khadi and Village Industries Commission), state KVIBs, state DIC
- PMEGP 2.0: enhanced from ₹25 lakh to ₹50 lakh in Budget 2023-24
- No income ceiling; applicant must be 18+ years; 8th pass for manufacturing
- One applicant: one unit (no second PMEGP loan for same beneficiary)