PMEGP/Khadi/KVIC/KVIB/DIC Loan Online Apply

 

The Prime Minister’s Employment Generation Programme (PMEGP) is a flagship scheme of the Ministry of Micro, Small and Medium Enterprises (MSME) launched in 2008. The primary objective of the scheme is to generate employment opportunities in rural and urban areas of the country by providing financial assistance to micro and small enterprises. The scheme aims to promote self-employment and entrepreneurship and facilitate the growth of MSMEs.

PMEGP is implemented by the Khadi and Village Industries Commission (KVIC), Khadi and Village Industries Board (KVIB), and District Industries Centre (DIC) across the country. The scheme provides credit-linked subsidy to eligible beneficiaries for starting new micro-enterprises or expanding the existing ones. The subsidy ranges from 15% to 35% of the project cost in urban areas and 25% to 35% in rural areas. The maximum loan amount is Rs. 25 lakhs for manufacturing enterprises and Rs. 10 lakhs for service enterprises.

Eligibility Criteria for PMEGP Loan:

The applicant must be an Indian citizen above 18 years of age.
The applicant must have passed at least 8th standard.
The applicant must not be a defaulter of any bank or financial institution.
The applicant must not have availed of any government subsidy or assistance for the proposed project.
The project cost should be within the maximum limit specified under the scheme.
The project must be economically viable and technically feasible.

Documents Required for PMEGP Loan:

Proof of Identity – Aadhaar card, PAN card, Voter ID card, Passport, etc.
Proof of Address – Aadhaar card, Voter ID card, Passport, etc.
Project Report – detailing the project’s technical and financial viability.
Proof of Ownership/Lease of the proposed business premises.
Educational Qualification Certificate.
Income Tax Returns (ITR) for the last three years (for existing businesses).

PMEGP/Khadi/KVIC/KVIB/DIC Loan Online Apply

How to Apply for PMEGP Loan Online:

Visit the official website of KVIC, KVIB, or DIC, depending on the state of the applicant.
Click on the ‘Online Application’ tab and select PMEGP from the list of available schemes.
Register on the portal by providing accurate personal details such as name, contact number, email ID, and Aadhaar number.
Fill in the online application form with accurate details of personal and business information, including the project report.
Upload the required documents, such as ID proof, address proof, and project report.
Pay the application fee online using a debit/credit card or net banking.
Submit the application form and wait for the approval.
The application will be scrutinised by the KVIC, KVIB or DIC, depending on the state of the applicant. The sanctioning authority will examine the application’s feasibility and sanction the loan amount if found satisfactory. Once the loan is approved, the beneficiary will have to sign the loan agreement and submit it along with other required documents to the bank. The loan amount will be disbursed to the beneficiary’s bank account, and the beneficiary will be required to start the project within six months of receiving the loan.

Repayment of PMEGP Loan:

The beneficiary will have to repay the loan amount in instalments within the stipulated time frame. The repayment period for the loan is a maximum of 5-7 years, including the moratorium period. The interest rate charged on the loan is as per the guidelines issued by the Reserve Bank of India (RBI). The beneficiary can prepay the loan amount without any penalty charges.

In conclusion

PMEGP loan is an excellent initiative by the Government of India to promote entrepreneurship and generate employment opportunities in the country. By applying for this scheme, eligible candidates can avail of the necessary financial assistance to start their business ventures and contribute to the nation’s economic growth.