New Delhi, May 7 (KNN) The Prime Minister’s Employment Generation Programme (PMEGP), a flagship scheme of the Ministry of Micro, Small and Medium Enterprises, has recorded strong performance during the 15th Finance Commission cycle, supporting micro-enterprise development and employment generation across the country.
Implemented through the Khadi and Village Industries Commission (KVIC), the scheme provides margin money subsidies on bank loans to help first-generation entrepreneurs establish micro-enterprises in the non-farm sector, particularly in manufacturing and services.
Between FY 2021–22 and FY 2025–26, PMEGP facilitated the establishment of 4,03,706 micro-enterprises, marginally exceeding the target of 4,02,000 units. The scheme also achieved full utilisation of its approved outlay of Rs 13,554.42 crore during the period.
These efforts translated into employment generation for approximately 36.33 lakh individuals, contributing to livelihood creation and strengthening grassroots economic activity.
The scheme has also shown significant progress in promoting inclusive growth. Women account for nearly 40Percent of the enterprises supported, while about 45Percent of the total subsidy disbursed has gone to women entrepreneurs. Additionally, around 54Percent of beneficiaries belong to SC, ST, and OBC categories.
Rural outreach remains a key feature of the programme, with nearly 80Percent of the units established in rural areas, supporting decentralised industrialisation and balanced regional development.
Officials said the performance of PMEGP during the 15th Finance Commission cycle highlights its role in fostering entrepreneurship, expanding access to credit, and promoting self-employment.
The government is expected to further strengthen the scheme in the next phase with a focus on innovation, scalability, and wider outreach.
(KNN Bureau)
