Lok Sabha Question No. 3037 (UNSTARRED), answered on 2025-08-07
Subject: Digital Access to MSME Schemes
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Konda Vishweshwar Reddy

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION No. 3037 TO BE ANSWERED ON 07.08.2025

## DIGITAL ACCESS TO MSME SCHEMES

3037. SHRI KONDA VISHWESHWAR REDDY:

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

- (a) whether  the  Ministry  has  assessed  the  impact  of  MSME  and  PMEGP  schemes  on  youth employment and entrepreneurship in Chevella Lok Sabha Constituency;
- (b) if so, the key findings regarding sustainability, credit access and market linkages for MSMEs in the region;
- (c) whether there is a mechanism to track the long-term viability of PMEGP supported units in backward and rural areas of Chevella;
- (d) the  specific  initiatives  undertaken  to  strengthen  MSME  infrastructure  and  common  facility centres in Chevella to enable cluster-based development;
- (e) whether the Ministry has taken steps to improve awareness, application support and digital access to MSME schemes among SC/ST and women entrepreneurs in the constituency and if so, the details thereof; and
- (f) the  extent  of  coordination  with  State/district  agencies  to  ensure  timely  disbursal  of  funds, resolution of delayed payments and support for first generation entrepreneurs in the region?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE)

(a) and (b): Ministry  of  MSME,  through  Khadi  and  Village  Industries  Commission  (KVIC),  is implementing  PMEGP, a credit linked subsidy scheme for assisting  entrepreneurs in  setting  up  of new micro enterprises to generate sustainable employment opportunities in rural and urban areas. No. of  units  assisted,  margin  money  subsidy  disbursed  and  estimated  employment  generated  in  Ranga Reddy district of Telangana which includes Chevella Lok Sabha Constituency in the last three years i.e from FY 2022-23 to FY 2024-25 is given below:

| Financial Year   |   No. of Units Assisted |   MMSubsidy (Rs. Lakh) |   Estimated Employment Generated |
|------------------|-------------------------|------------------------|----------------------------------|
| 2022-23          |                     203 |                1074.7  |                             1624 |
| 2023-24          |                     222 |                1193.32 |                             1776 |
| 2024-25          |                     233 |                1247.7  |                             1864 |

(c): Measures to track long-term viability of PMEGP supported units across the country including in Chevella are the following:

- i. Under PMEGP, Banks appraise the projects both technically and economicallyand take their own credit decision on the basis of viability of each project. This includes an assessment of long-term viability and sustainability of the project.
- ii. Evaluation Studies are conducted through Third-Party agencies on performance of PMEGP units and factors affecting sustainability of units.
- iii. Marketing  support  is provided  to PMEGP  units  for  sale  of  their  products  through exhibitions, KVIC sales outlets and the e-commerce portal (https://www.ekhadiindia.com) which  promotes  their  long-term  viability  and  sustained  engagement  with  Implementing Agencies.

(d): To establish and strengthen Common Facility Centers (CFCs) and Infrastructure Development  (ID)  in  new/existing  industrial  estates/areas/flatted  factory  complexes,  Micro  and Small  Enterprises  Cluster  Development  Programme  (MSE-CDP)  of  Ministry  of  MSME  is  being implemented across the country with an objective to enhance the productivity and competitiveness of Micro and Small Enterprises (MSEs) for their holistic development addressing the common issues of the existing clusters. It is a demand driven Central Sector Scheme wherein, State Governments send proposals as per common needs of existing cluster in their States/UTs. A total 590 projects have been approved including 229 Common Facility Centers (CFCs) and 361 Infrastructure Development (ID) projects, till date.

(e): Steps taken by the Ministry to improve awareness, application support and digital access to MSME schemes among SC/ST and women entrepreneurs all over the country include the following:

- i. Under the National SC-ST Hub Scheme (NSSH), conclaves, vendor development programmes  and  awareness  workshops  are  organised  with  on  spot  handholding  support  at various locations in the country andin places/regions where SC/ST population is significant.
- ii. 'Yashasvini'  awareness  campaign  seeks  to  create  awareness  among  existing  and  aspiring women entrepreneurs with various schemes of the Ministry of MSME, providing them with continuum of support through handholding, mentorship, and capacity building.
- iii. Under PMEGP the following initiatives are undertaken :
- a) Awareness  programmes  are  conducted  in  all  the  States/UTs  including  backward  and under-performing areas, Aspirational districts, North Eastern Region, with special focus on SC, ST and women entrepreneurs.

- b) To enhance the quality of applications to reduce rejections, technical experts & Bank Officials  (Retd.)  have  been  engaged  to  provide  handholding  support  to  prospective PMEGP beneficiaries during application stage.
- c) Conduct of two-days free online Entrepreneurship Development Programme (EDP) for prospective entrepreneurs.
- d) Acceptance of PMEGP applications from beneficiaries in physical form in 11 regional languages since January 2024.
- e) A wide range of more than 1,000 Model of Detailed Project Reports have been prepared on various industries and made available on the PMEGP online portal.
5. (f): Under PMEGP, coordination with State/district agencies is established through the following mechanisms:
- i. Periodical  review  meetings  with  Implementing  Agencies  i.e.  State  offices  of  KVIC,  State KVIBs, State DICs and financial institutions.
- ii. Banker's  Review  meetings  conducted  at  top,  State  and  Zonal  level  to  ensure  proper sanctioning of loans and disbursement of margin money.
- iii. Meetings  by  State  Level  Monitoring  Committee  (SLMC)  and  District  Level  Monitoring Committee  (DLMC)  are  conducted  on  a  quarterly  basis  to monitor  and  review  the performance of the scheme

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