MSMESOLUTIONS
Business • Finance • Growth
Central GovernmentCheck availability

PMEGP

Prime Minister's Employment Generation Programme

Credit-linked capital subsidy programme to generate self-employment ventures in rural and urban areas.

Official portal(opens in a new tab)

Check availability: The approved scheme cycle ran to FY 2025-26. Check the KVIC PMEGP portal for availability in the current year.

Key benefits

  • Government margin money subsidy: 15% (urban) / 25% (rural) for general category, and 25% (urban) / 35% (rural) for special categories (women, SC/ST, OBC, minorities, ex-servicemen, PH, NER).
  • Promoter contribution required is only 5% to 10% of total project cost.
  • Balance project cost provided as bank term loan.

Basic eligibility

  • Individuals above 18 years of age.
  • At least VIII standard pass for projects costing above ₹10 Lakhs in manufacturing and ₹5 Lakhs in service sector.
  • Only for new projects; existing units or units that have availed other central/state subsidy are not eligible.

Documents checklist

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This summary is for general information and may not reflect the latest notification; confirm details on the official portal. Sanctions and subsidies are decided by the bank or government agency after their own appraisal. We do not guarantee approval.

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