Lok Sabha Question No. 2243 (UNSTARRED), answered on 2019-07-04
Subject: Disbursement of Loans under PMEGP
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Rahul Kaswan

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 2243 TO BE ANSWERED ON 04.07.2019

## DISBURSEMENT OF LOANS UNDER PMEGP

## †2243.        SHRI RAHUL KASWAN:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) whether loans are being disbursed to the  youth  in various States including Rajasthan under Prime Minister's Employment Generation Programme(PMEGP);
- (b) if so, the details thereof for the last three years, State/UT-wise;
- (c) the amount of loans disbursed to the youth of the Rajasthan and the target set for the same under the aforementioned programme during the said period;
- (d) the steps taken by the Government to achieve the said targets; and
- (e) whether the Government has made any assessment of the achievements made under the PMEGP and if so, the details thereof?

## ANSWER

## MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NITIN GADKARI)

- (a): Yes, Sir.
- (b): Under this scheme, loan is being provided by banks and the margin money   subsidy is  being  disbursed  by  Ministry  of  MSME  through  KVIC.  The  State/UT  -  wise  detail  of margin money subsidy is given annexure -I
- (c): During  last  three  years  target  of  margin  money  subsidy  and  achievement  and estimated bank credit disbursed to youth in Rajasthan is given below :

(Rs. in lakhs)

|         | Target                    | Target                   | Achievement            | Achievement                          |
|---------|---------------------------|--------------------------|------------------------|--------------------------------------|
| Year    | Margin Money disbursement | Estimated of bank credit | Margin Money disbursed | Estimated achievement of bank credit |
| 2016-17 | 3500.99                   | 9452.67                  | 4641.60                | 12532.32                             |
| 2017-18 | 4909.26                   | 13255.00                 | 4929.04                | 13308.41                             |
| 2018-19 | 8209.96                   | 22166.89                 | 7199.28                | 19438.06                             |

- (d): The  following  steps  are  taken  by  the  Government  to  achieve  the  targets  under PMEGP.
- I. To bring in transparency and expedite disbursement of Margin Money under PMEGP scheme,  Ministry  of  MSME  has  introduced  online  Margin  Money  disbursement directly to financing bank branches.
- II. 2 nd dose of financial assistance has been allowed for expansion/upgrading the existing PMEGP/MUDRA units (for manufacturing  units  upto  1.00  Cr  and  for  service  unit upto Rs.25.00 Lakhs with subsidy of 15% for non NER and 20% for NER and hilly state).
- III. Association of NSIC, MSME-DIs  and Toll Rooms for providing necessary handholding and monitoring support to beneficiaries.
- IV. To  boost  the  marketing  of  KVI  product,  10%  of  financial  allocations  for  trading activities i.e. business/trading activities in the form of sales outlets will be permitted in NER, LWE - affected districts and A&N lsland.
- V. Retail  outlets/business  -  selling  Khadi  products,  Village  Industry  products  procured from  Khadi  and  Village  Industry  Institutions  certified  by  KVIC  and  products manufactured  by  PMEGP/SFURTI  units  only  permitted  under  PMEGP  across  the country upto 10% of the total financial allocation.
- VI. Awareness  camps,  workshops,  Bankers  Meetings  and  exhibitions  at  all  levels  are being  organized  in  order  to  propagate  the  PMEGP  scheme  for  the  development  of micro industries.
- VII. Coir activities  are  included  under  the  scheme and  Coir  Board  has  been  made as  an implementing agency.
- VIII. Process of Geo-tagging of all the units is initiated.
- (e): Government  has  made  assessment  of  the  achievements  under  PMEGP  through following means:
-  As per approved guidelines of the PMEGP scheme, 100% physical verification is mandatory. Physical verification of the actual establishment and working status of each  of  the  units,  financed  under  PMEGP  is  carried  out  through  the  outsourced agencies  selected  for  conducting  physical  verification  which  is  conducted  after completion of 24 months of setting up of units and before 36 months.
-  Scheme  has  been  evaluated  by  Management  Development  Institute (MDI), Gurgram, major observations of the evaluation are;
- a. Scheme has been able to provide Sustainable Employment.

- b.

- Average Employment Per Project - 7.62 persons

- c. Average Cost of Generating Unit Employment           - Rs. 96,209

- d. Average Cost per Project

- Rs. 7,33,423

******

## Annexure I referred to in reply to part (b) of the Lok Sabha Unstarred Qn. No. 2243 for answer on 04.07.2019

Detail of disbursement of Margin Money subsidy under PMEGP for last three years (Rs. In Lakh)

| Sr. No.                                                  | State/Union Territories                                  | 2016-17                                                  | 2017-18                                                  | 2018-19 (P)                                              |
|----------------------------------------------------------|----------------------------------------------------------|----------------------------------------------------------|----------------------------------------------------------|----------------------------------------------------------|
| I                                                        | NORTH ZONE                                               |                                                          |                                                          |                                                          |
| 1                                                        | Chandigarh UT                                            | 82.84                                                    | 90.07                                                    | 63.91                                                    |
| 2                                                        | Delhi                                                    | 182.41                                                   | 150.65                                                   | 157.13                                                   |
| 3                                                        | Haryana                                                  | 3383.53                                                  | 4167.00                                                  | 5178.43                                                  |
| 4                                                        | Himachal Pradesh                                         | 2185.27                                                  | 2042.54                                                  | 4135.61                                                  |
| 5                                                        | Jammu &Kashmir                                           | 2621.40                                                  | 6913.15                                                  | 15222.00                                                 |
| 6                                                        | Punjab                                                   | 3181.60                                                  | 3930.46                                                  | 4766.68                                                  |
| 7                                                        | Rajasthan                                                | 4641.60                                                  | 4929.04                                                  | 7199.28                                                  |
|                                                          | TOTAL-III                                                | 16278.65                                                 | 22222.91                                                 | 36723.04                                                 |
| II                                                       | CENTRAL ZONE                                             |                                                          |                                                          |                                                          |
| 1                                                        | Chhatisgarh                                              | 4070.73                                                  | 3398.40                                                  | 6784.52                                                  |
| 2                                                        | Madhya Pradesh                                           | 8346.06                                                  | 7631.41                                                  | 10002.28                                                 |
| 3                                                        | Uttarakhand                                              | 2122.33                                                  | 2880.98                                                  | 4098.38                                                  |
| 4                                                        | Uttar Pradesh                                            | 14271.05                                                 | 16866.47                                                 | 19033.28                                                 |
|                                                          | TOTAL-I                                                  | 28810.17                                                 | 30777.26                                                 | 39918.46                                                 |
| III                                                      | NORTH EAST ZONE                                          |                                                          |                                                          |                                                          |
| 1                                                        | Arunachal Pradesh                                        | 440.34                                                   | 309.42                                                   | 419.88                                                   |
| 2                                                        | Assam                                                    | 4910.36                                                  | 2362.48                                                  | 4167.41                                                  |
| 3                                                        | Manipur                                                  | 2162.78                                                  | 1383.87                                                  | 2041.06                                                  |
| 4                                                        | Meghalaya                                                | 407.89                                                   | 118.27                                                   | 587.14                                                   |
| 5                                                        | Mizoram                                                  | 491.96                                                   | 274.05                                                   | 1514.90                                                  |
| 6                                                        | Nagaland                                                 | 2007.48                                                  | 2672.15                                                  | 2349.67                                                  |
| 7                                                        | Sikkim                                                   | 35.93                                                    | 46.36                                                    | 112.35                                                   |
| 8                                                        | Tripura                                                  | 3734.66                                                  | 1892.30                                                  | 2314.24                                                  |
|                                                          | TOTAL-IV                                                 | 14191.40                                                 | 9058.90                                                  | 13506.65                                                 |
| IV                                                       | EAST ZONE                                                |                                                          |                                                          |                                                          |
| 1                                                        | And. &Nic. Island                                        | 193.46                                                   | 276.95                                                   | 318.52                                                   |
| 2                                                        | Bihar                                                    | 8336.51                                                  | 6558.85                                                  | 9842.00                                                  |
| 3                                                        | Jharkhand                                                | 2654.35                                                  | 2439.53                                                  | 4535.69                                                  |
| 4                                                        | Odisha                                                   | 6848.96                                                  | 5680.65                                                  | 7856.18                                                  |
| 5                                                        | West Bengal                                              | 6270.32                                                  | 3891.37                                                  | 7568.78                                                  |
|                                                          | TOTAL-III                                                | 24303.60                                                 | 18847.35                                                 | 30121.17                                                 |
| VI                                                       | WEST ZONE                                                |                                                          |                                                          |                                                          |
| 1                                                        | Goa*                                                     | 191.44                                                   | 149.07                                                   | 237.23                                                   |
| 2                                                        | Gujarat                                                  | 7561.61                                                  | 12883.63                                                 | 25443.87                                                 |
| 3                                                        | Maharashtra **                                           | 6001.36                                                  | 8749.73                                                  | 15272.02                                                 |
|                                                          | TOTAL-VI                                                 | 13754.41                                                 | 21782.43                                                 | 40953.12                                                 |
| VI                                                       | SOUTH ZONE                                               |                                                          |                                                          |                                                          |
| 1                                                        | Andhra Pradesh                                           | 4916.08                                                  | 5336.10                                                  | 9046.31                                                  |
| 3                                                        | Karnataka                                                | 11609.56                                                 | 6477.94                                                  | 10725.32                                                 |
| 2                                                        | Kerala                                                   | 3350.68                                                  | 2910.44                                                  | 5383.93                                                  |
| 4                                                        | Lakshadweep                                              | 0.00                                                     | 0.00                                                     | 0.00                                                     |
| 5                                                        | Pondicherry                                              | 103.65                                                   | 78.95                                                    | 150.70                                                   |
| 6                                                        | Tamilnadu                                                | 8213.92                                                  | 9717.58                                                  | 13290.95                                                 |
| 7                                                        | Telangana                                                | 2561.72                                                  | 4030.21                                                  | 7180.89                                                  |
|                                                          | TOTAL-V                                                  | 30755.61                                                 | 28551.22                                                 | 45778.10                                                 |
| * Including daman &Diu, ** Including Dadra &Nagar Haveli | * Including daman &Diu, ** Including Dadra &Nagar Haveli | * Including daman &Diu, ** Including Dadra &Nagar Haveli | * Including daman &Diu, ** Including Dadra &Nagar Haveli | * Including daman &Diu, ** Including Dadra &Nagar Haveli |