Lok Sabha Question No. 269 (UNSTARRED), answered on 2022-02-03
Subject: PMEGP
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Raja Amareshwara Naik, Jayanta Kumar Roy, Sangeeta Kumari Singh Deo, Rajveer (Raju Bhaiya) Singh, Sukanta Majumdar, Vinod Kumar Sonkar, Bhola Singh

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

## LOK SABHA UNSTARRED QUESTION NO. 269 TO BE ANSWERED ON 03.02.2022

## PMEGP

## 269. SHRI RAJA AMARESHWARA NAIK:

DR. JAYANTA KUMAR ROY:

SHRIMATI SANGEETA KUMARI SINGH DEO:

SHRI RAJVEER SINGH (RAJU BHAIYA):

DR. SUKANTA MAJUMDAR:

SHRI VINOD KUMAR SONKAR:

SHRI BHOLA SINGH:

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

- (a) whether the Government has implemented a credit-linked subsidy programme named Prime Minister's Employment Generation Programme (PMEGP);
- (b) if  so,  the  details  thereof  along  with  the  quantum  of  financial  assistance  given  under  this programme to the beneficiaries so far;
- (c) whether the objectives/targets to generate employment thereunder in rural and urban areas of the country have been achieved;
- (d) if  so,  the  details  thereof  and  if  not,  the  reasons  therefor  and  the  steps  taken  by  the Government to generate employment under the programme;
- (e) the  number of women entrepreneurs benefited under the said programme during the above said period, State/UT-wise; and
- (f) the steps taken by the Government for effective implementation of the programme including hike in the existing ceiling of financial assistance for MSMEs?

## ANSWER

## MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NARAYAN RANE)

(a) & (b): Ministry  of  MSME  is  implementing  Prime  Minister's  Employment  Generation Programme (PMEGP) since 2008-09 through Khadi and Village Industries Commission (KVIC) as nodal agency at the national level for generating employment opportunities in the country by setting up micro-enterprises in non-farm sector.

Under PMEGP, General Category beneficiaries can avail of Margin Money subsidy of 25 % of  the  project  cost  in  rural  areas  and  15%  in  urban  areas.  For  Special  Categories  such  as SC/ST/OBC/minorities/women/ex-serviceman/physically handicapped /NER/Hill and Border areas, etc., the Margin Money subsidy is 35% in rural areas and 25% in urban areas.  Maximum project cost for manufacturing unit is Rs.25 lakh and for service sector is Rs.10 lakh.

Since  its  inception  upto  31.12.2021,  about  7.38  lakh  new  micro  units  have  been  assisted utilizing margin money subsidy of Rs.17819.23 cr. generating estimated employment opportunities for about 60.60 lakh persons.

(c) & (d): The scheme has been successful in generating rural employment spread across various social categories. Around 80% of the PMEGP units have been set up in rural areas and about 50% of the units have been set up by SC/ST/Women entrepreneurs. Target set and achievement made under the PMEGP Scheme in the country during the last three years and current year as on 27.01.2022 is given below:

| ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   | ( Margin Money :- Rs. in lakh)   |
|----------------------------------|----------------------------------|----------------------------------|----------------------------------|----------------------------------|----------------------------------|----------------------------------|
| Year                             | Target                           | Target                           | Target                           | Achievement                      | Achievement                      | Achievement                      |
|                                  | No. of Units assisted            | Margin Money disbursed           | Estimated Employment Generated   | No. of Units assisted            | Margin Money disbursed           | Estimated Employment Generated   |
| 2018-19                          | 72381                            | 206880.00                        | 579048                           | 73427                            | 207000.54                        | 587416                           |
| 2019-20                          | 79236                            | 239644.00                        | 633888                           | 66653                            | 195082.20                        | 533224                           |
| 2020-21                          | 78625                            | 228968.52                        | 629000                           | 74415                            | 218880.15                        | 595320                           |
| 2021-22 (as on 27.01.2022)       | 92666                            | 285000.00                        | 741328                           | 60180                            | 185122.76                        | 370840                           |

(e): State/UT-wise number of Women beneficiaries benefitted under PMEGP scheme during last three years and current year is given at Annexure.

(f): Following steps have been taken for the effective implementation of PMEGP:

- i. The process of application  flow,  including  bank  sanctions  and  disbursement,  has  been made faster and transparent through introduction of on-line portal.
- ii. The  process  of  selection of  entrepreneurs  has been  further  streamlined  with  the discontinuation of the role of District Level Task Force Committee (DLTFC) since April, 2020,  in  recommending  proposals/applications  to  financing  banks. In the revised scenario,  the  proposals  are  now  sent  directly  by  Implementing  Agencies  to  financing banks based on a Score Card model, thereby reducing the overall approval period.
- iii. Organizing of Entrepreneurship Training Programme (EDP), mandatory before disbursal of loan by Banks, has been made online since October 2019 to provide expedited training and release of loan to the beneficiaries.
- iv. Free two day online pre- EDP training has been introduced for interested applicants.
- v. The list  of  activities  has  been  expanded  to  attract  entrepreneurs  for  setting  up  diverse units.
- vi. Implementing  Agencies  like  Khadi  and  Village  Industries  Commission  (KVIC),  State Khadi and Village Industries Board (KVIB) and District Industries Centres (DICs) are providing handholding to applicants, through call centres, online tutorials as well as with help desks with banking and marketing experts.
- vii. Sector/industry wise webinars are also being organized every Sunday involving industry experts and banks with participation of more than 300,000 prospective applicants.

****

## Annexure referred to in reply to part (e) of the Lok Sabha Unstarred Qn. No. 269 for answer on 03.02.2022

| No. of Women beneficiaries assisted under PMEGP during last three years and Current   | No. of Women beneficiaries assisted under PMEGP during last three years and Current   | No. of Women beneficiaries assisted under PMEGP during last three years and Current   | No. of Women beneficiaries assisted under PMEGP during last three years and Current   | No. of Women beneficiaries assisted under PMEGP during last three years and Current   | No. of Women beneficiaries assisted under PMEGP during last three years and Current   |
|---------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|
| Sr. No.                                                                               | Name of State/UT                                                                      | 2018-19                                                                               | 2019-20                                                                               | 2020-21                                                                               | 2021-22 (as on 27.01. 2022)                                                           |
| 1                                                                                     | Jammu &Kashmir                                                                        | 2449                                                                                  | 1861                                                                                  | 3235                                                                                  | 5982                                                                                  |
| 2                                                                                     | Ladakh                                                                                | 0                                                                                     | 0                                                                                     | 85                                                                                    | 46                                                                                    |
| 3                                                                                     | Himachal Pradesh                                                                      | 528                                                                                   | 447                                                                                   | 431                                                                                   | 279                                                                                   |
| 4                                                                                     | Punjab                                                                                | 703                                                                                   | 681                                                                                   | 737                                                                                   | 493                                                                                   |
| 5                                                                                     | U.T. Chandigarh                                                                       | 13                                                                                    | 8                                                                                     | 6                                                                                     | 5                                                                                     |
| 6                                                                                     | Haryana                                                                               | 547                                                                                   | 592                                                                                   | 622                                                                                   | 469                                                                                   |
| 7                                                                                     | Delhi                                                                                 | 54                                                                                    | 41                                                                                    | 33                                                                                    | 30                                                                                    |
| 8                                                                                     | Rajasthan                                                                             | 524                                                                                   | 732                                                                                   | 663                                                                                   | 446                                                                                   |
| 9                                                                                     | Uttarakhand                                                                           | 499                                                                                   | 467                                                                                   | 551                                                                                   | 288                                                                                   |
| 10                                                                                    | Uttar Pradesh                                                                         | 1433                                                                                  | 1574                                                                                  | 2777                                                                                  | 2193                                                                                  |
| 11                                                                                    | Chhattisgarh                                                                          | 726                                                                                   | 670                                                                                   | 753                                                                                   | 444                                                                                   |
| 12                                                                                    | Madhya Pradesh                                                                        | 738                                                                                   | 627                                                                                   | 1435                                                                                  | 1075                                                                                  |
| 13                                                                                    | Sikkim                                                                                | 27                                                                                    | 29                                                                                    | 24                                                                                    | 13                                                                                    |
| 14                                                                                    | Arunachal Pradesh                                                                     | 99                                                                                    | 77                                                                                    | 38                                                                                    | 41                                                                                    |
| 15                                                                                    | Nagaland                                                                              | 535                                                                                   | 481                                                                                   | 310                                                                                   | 232                                                                                   |
| 16                                                                                    | Manipur                                                                               | 533                                                                                   | 518                                                                                   | 725                                                                                   | 265                                                                                   |
| 17                                                                                    | Mizoram                                                                               | 542                                                                                   | 389                                                                                   | 417                                                                                   | 110                                                                                   |
| 18                                                                                    | Tripura                                                                               | 248                                                                                   | 219                                                                                   | 224                                                                                   | 136                                                                                   |
| 19                                                                                    | Meghalaya                                                                             | 126                                                                                   | 117                                                                                   | 140                                                                                   | 102                                                                                   |
| 20                                                                                    | Assam                                                                                 | 999                                                                                   | 798                                                                                   | 951                                                                                   | 464                                                                                   |
| 21                                                                                    | Bihar                                                                                 | 861                                                                                   | 582                                                                                   | 665                                                                                   | 425                                                                                   |
| 22                                                                                    | West Bengal                                                                           | 810                                                                                   | 911                                                                                   | 907                                                                                   | 530                                                                                   |
| 23                                                                                    | Jharkhand                                                                             | 428                                                                                   | 451                                                                                   | 444                                                                                   | 256                                                                                   |
| 24                                                                                    | Odisha                                                                                | 1185                                                                                  | 1160                                                                                  | 1319                                                                                  | 936                                                                                   |
| 25                                                                                    | A &NIslands                                                                           | 51                                                                                    | 17                                                                                    | 42                                                                                    | 25                                                                                    |
| 26                                                                                    | Gujarat*                                                                              | 2382                                                                                  | 2719                                                                                  | 1841                                                                                  | 2061                                                                                  |
| 27                                                                                    | Maharashtra**                                                                         | 1965                                                                                  | 1636                                                                                  | 1179                                                                                  | 984                                                                                   |
| 28                                                                                    | Goa                                                                                   | 30                                                                                    | 36                                                                                    | 18                                                                                    | 26                                                                                    |
| 29                                                                                    | Andhra Pradesh                                                                        | 1101                                                                                  | 1113                                                                                  | 856                                                                                   | 811                                                                                   |
| 30                                                                                    | Telangana                                                                             | 668                                                                                   | 735                                                                                   | 734                                                                                   | 579                                                                                   |
| 31                                                                                    | Karnataka                                                                             | 1086                                                                                  | 1167                                                                                  | 1492                                                                                  | 1160                                                                                  |
| 35                                                                                    | Lakshadweep                                                                           | 0                                                                                     | 0                                                                                     | 2                                                                                     | -                                                                                     |
| 33                                                                                    | Kerala                                                                                | 1052                                                                                  | 1003                                                                                  | 953                                                                                   | 612                                                                                   |
| 34                                                                                    | Tamilnadu                                                                             | 2463                                                                                  | 2841                                                                                  | 2663                                                                                  | 1699                                                                                  |
| 35                                                                                    | Puducherry                                                                            | 29                                                                                    | 21                                                                                    | 13                                                                                    | 20                                                                                    |
| GRAND                                                                                 | TOTAL                                                                                 | 25434                                                                                 | 24720                                                                                 | 27285                                                                                 | 23237                                                                                 |