Lok Sabha Question No. 154 (UNSTARRED), answered on 2026-01-29
Subject: Implementation of PMEGP
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Prof. Varsha Eknath Gaikwad

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

## LOK SABHA UNSTARRED QUESTION No. 154 TO BE ANSWERED ON 29.01.2026

## IMPLEMENTATION OF PMEGP

## 154. PROF. VARSHA EKNATH GAIKWAD:

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

- (a) whether Union Government has reviewed the implementation of the Prime Minister's Employment Generation Programme (PMEGP) in Mumbai with a view to enhancing its effectiveness in promoting self-employment and entrepreneurship in urban areas and if so, the details thereof;
- (b) the  number  of  PMEGP  projects  sanctioned,  subsidies  released  and  employment  generated  in Mumbai during the last five years, sector-wise,
- (c) whether  adequate  outreach  has  been  undertaken  to  encourage  participation  of  youth,  women, minorities and first-generation entrepreneurs in Mumbai and if so, the details thereof;
- (d) the  steps  taken  to  streamline  bank  credit  linkage,  reduce  procedural  delays  and  provide  timely subsidy support under PMEGP in the city;
- (e) whether  post-sanction  support  such  as  skill  training,  mentoring  and  market  linkages  is  being provided to PMEGP beneficiaries in Mumbai and if so, the details thereof; and
- (f) the  measures  proposed  to  further  strengthen  implementation,  monitoring  and  sustainability  of PMEGP-supported micro-enterprises in Mumbai in line with urban employment  and  MSME development goals?

## ANSWER

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

- (a): The Ministry of MSME conducts periodical review meetings with KVIC and other Implementing Agencies  including  State  offices  of  KVIC,  State  Khadi  and  Village  Industries  Boards  (KVIBs),  State District Industries Centres (DICs) and financial institutions to ensure smooth implementation of PMEGP across  the  country  including  in  Mumbai.  Furthermore,  meetings  of  the  State  Level  Monitoring Committee  (SLMC),  District  Level  Monitoring  Committee  (DLMC)  and  Bankers  meeting  at  various levels  are  held  on  a  regular  basis  to  review  the  implementation  of  PMEGP  and  to  enhance  its effectiveness in promoting self-employment and entrepreneurship.
- (b): Sector  wise  number  of  PMEGP  projects  sanctioned,  MM  subsidy  disbursed  and  estimated employment generated in Mumbai during the last five years is given below:

|                | Manufacturing Sector       | Manufacturing Sector            | Manufacturing Sector           | Service Sector             | Service Sector                  | Service Sector                 |
|----------------|----------------------------|---------------------------------|--------------------------------|----------------------------|---------------------------------|--------------------------------|
| Financial Year | No. of projects sanctioned | MM Subsidy disbursed (Rs. lakh) | Estimated employment generated | No. of projects sanctioned | MM Subsidy disbursed (Rs. lakh) | Estimated employment generated |
| 2020-21        | 8                          | 29.92                           | 64                             | 8                          | 11.16                           | 64                             |
| 2021-22        | 22                         | 90.51                           | 176                            | 5                          | 8.03                            | 40                             |
| 2022-23        | 32                         | 131.61                          | 256                            | 2                          | 2.78                            | 16                             |
| 2023-24        | 46                         | 161.23                          | 368                            | 11                         | 32.75                           | 88                             |
| 2024-25        | 14                         | 95.14                           | 112                            | 17                         | 43.70                           | 136                            |
| Total          | 122                        | 508.41                          | 976                            | 43                         | 98.42                           | 344                            |

(c) to (f): Steps  undertaken  to  ensure  adequate  outreach,  streamline  bank  credit  linkage,  reduce procedural  delays,  ensure  timely  subsidy  and  post-sanction  support  under  PMEGP  to  beneficiaries throughout the country including Mumbai are the following:

- i) Awareness  programmes,  webinars  and  workshopsare  conducted  in  all  the  States/UTs  including underserved and under-performing areas, Aspirational districts, North Eastern Region, etc. with a special  focus  on  youth,  women,  SC/ST  and  minorities.  A  total  of  7  and  9  number  of  outreach programmes  were  conducted  in  FY  2024-25  and  FY  2025-26  under  PMEGP  to  encourage participation of youth, women, minorities and other first generation entrepreneurs in Mumbai.
2. ii) Disseminating  Information,  Education  and  Communication  (IEC)  material  and  video  clips  in regional languages to promote PMEGP.
3. iii) Inclusion of applicants from Aspirational districts and transgenders under Special Category eligible for higher subsidy.
4. iv) Conduct of two-days free online Entrepreneurship Development Programme (EDP) for prospective entrepreneurs.
- v) Acceptance of PMEGP applications from beneficiaries in physical form in 19 regional languages excluding Hindi and English.
6. vi) A wide range of more than 1,000 model Detailed Project Reports have been prepared on various industries and made available on the PMEGP online portal.
7. vii) To enhance the quality of applications and to reduce rejections, technical experts & Bank Officials (Retd.)  have  been  engaged  to  provide  handholding  support  to  prospective  PMEGP  beneficiaries during application stage.
8. viii) Bankers  meeting  at  various  levels  are  held  on  a  regular  basis  to  reduce  procedural  delays  and streamline bank credit linkage.
9. ix) No collateral  security  to  be  insisted  by  Banks  for  projects  involving  loan  up  to  10  lakhs.  Strict compliance  of  this  provision  has  been  reemphasized  during  Bankers'  meetings  and  written communication to all major Banks.
- x) Presently, more than 100 banks, including all PSBs, private banks and co-operative banks have been on boarded on the PMEGP portal as Financing Banks for enhanced accessibility to credit.
11. xi) Marketing support is provided to products manufactured by PMEGP units throughout the country through KVIC's Sales outlets. Furthermore, Exhibitions and Workshops are arranged regularly for participation of PMEGP beneficiaries.
12. xii) E-Commerce portal (https://www.ekhadiindia.com) has been developed to provide digital market to sell  products globally and to popularise Khadi and Village Industries products including products manufactured by PMEGP units.

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