PMEGP Scheme 2021

PMEGP Scheme 2021 online application form

PMEGP Scheme 2021 online application f

PMEGP Scheme Online Application Form: Central government is inviting Prime Minister Employment Generation Programme 2021 online application form at Accordingly, PMEGP scheme will create employment opportunities for 15 lakh people with total outlay of Rs. 5,500 crore. Interested individual / non-individual applicants can apply online through the PMEGP e-Portal at

People can even apply For Upgradation / Expansion of existing PMEGP / REGP / MUDRA units. This would be the Prime Minister Employment Generation Programme second loan. The amount for which second loan could be applied is Rs. 1 crore. Each of the beneficiary would be able to get 15% to 20% subsidy.

Prime Minister Employment Generation Program 2021

Cabinet Cabinet Committee on Economic Affairs (CCEA) approves to continue PMEGP Scheme. Khadi and Village Industries Commission (KVIC) is selected agency for its implementation at the national level. Moreover at State / District Level, State offices of KVIC, Khadi and Village Industries Boards (KVIBs) and District Industry Centres (DIC) are the implementing agencies.

Interested and eligible candidates can fill the PMEGP Application Form 2021 through the official website before the closure date. Central govt. has decided to provide financial assistance for well performing units under PMEGP and MUDRA for expansion / upgradation. The govt. will also provide Rs. 1 crore for manufacturing and Rs. 25 lakh for services with 15% to 20% subsidy (more details at

PMEGP Scheme Online Application Form 2021

Below is the complete procedure to apply online at PM Employment Generation Program e-portal:-

STEP 1: Firstly visit the official website

STEP 2: Subsequently on the homepage, click the ” Prime Minister Employment Generation Program (PMEGP)”

STEP 3: Direct Link – To fill Prime Minister Employment Generation Programme Application Form, candidates can directly click the link for pmegp homepage –

STEP 4: Afterwards, click “Online Application Form For Individual” link to fill the application form for individual.

STEP 5: Then Prime Minister Employment Generation Program (PMEGP) Application Form will appear as shown below:-

STEP 6: Here candidates have to fill all the details and click the “Submit” button to complete the PM Employment Generation Program registration process.

STEP 7: Finally, registered candidates can make “PMEGP Login (Applicant)” and fill the remaining application form to complete the application process.

All the applications by the individuals received on the PM Employment Generation Program e-Portal will get processed online. Candidates must read the pmegp guidelines to fill the online application form. Moreover, non-individuals / groups can also fill the application form through the link

Eligibility Criteria to Apply Online for PMEGP Scheme 2021

The applicants must fulfill the following eligibility criteria for PM Employment Generation Program :-

Individual above the age of 18 years can apply for PMEGP Scheme.
Applicant must be minimum 8th standard pass for projects above Rs. 10 lakh in manufacturing sector and above Rs. 5 lakh in business and service sector.
PM Employment Generation Programme only sanctions the new projects and this scheme is not applicable for the existing ongoing projects.
All Self Help Groups including below poverty line (BPL) SHGs with a pre-condition that these SHGs have not availed benefit of other schemes are eligible.
Institutions registered under Societies Registration Act,1860, Production Co-operative Societies and Charitable Trusts are also eligible.
Non Eligible – All the existing units under PMRY, REGP and any other central govt. / state govt. schemes are NOT eligible. Even any unit that has taken the govt. subsidy under any govt. scheme are NOT eligible.
Objectives of Prime Minister Employment Generation Programme
(i) To generate employment opportunities in rural as well as urban areas of the country through setting up of new self-employment ventures/projects/micro enterprises.
(ii) To bring together widely dispersed traditional artisans/ rural and urban unemployed youth and give them self-employment opportunities to the extent possible, at their place.
(iii) To provide continuous and sustainable employment to a large segment of traditional and prospective artisans and rural and urban unemployed youth in the country, so as to help arrest migration of rural youth to urban areas.
(iv) To increase the wage earning capacity of artisans and contribute to increase in the growth rate of rural and urban employment.

Benefits of PM Employment Generation Program Scheme in India

• The maximum cost of the project/unit admissible under manufacturing sector is Rs. 25 lakh and under business/service sector is Rs. 10 lakh.
• Per capita investment should not exceed ₹ 1.00 lakh in plain areas and ₹ 1.50 lakhs in Hilly areas.
• Own contribution 5% to 10% of project cost.
• General category beneficiaries can avail of margin money subsidy of 25 % of the project cost in rural areas and 15% in urban areas. For beneficiaries belonging to special categories such as scheduled caste/scheduled tribe /women the margin money subsidy is 35% in rural areas and 25% in urban areas.
• Quantum of Margin Money Subsidy is given as follows.

PM Employment Generation Programme 2021 Subsidy Amount
Following the maximum limits for cost of projects under PM Employment Generation Programme which is Rs. 25 lakh for manufaturing sector and Rs. 10 lakh for business / service sector, central govt. provides subsidy. The distribution of margin subsidy is as follows:-

Subsidy for Urban Area Beneficiary Subsidy for Rural Area Beneficiary Own Contribution
15% of Total Project Cost 25% of Total Project Cost 10% of Total project Cost
25% of Total Project 35% of Total Project Cost 5% of Total Project Cost

PMEGP Scheme Subsidy Amount

PM Employment Generation Program Parameters
Central govt. will fix the targets taking into account the following parameters:-

  • Extent of Backwardness of the State.
  • Extent of Unemployment and fulfillment of previous year targets.
  • Population of State / Union Territory.
  • Availability of Traditional Skills and Raw Material.

Central govt. assigns a minimum target of 75 project / district is awarded to all districts on the basis of Prime Minister Employment Generation Programme application project report to achieve Inclusive Growth. Subsequently, Higher rate of subsidy (25% to 35%) will be applicable for women, SC/ST, OBC, Physically Disabled, NER applicants in rural areas.

The entire process of application flow and fund flow has been made online. This includes receipt of application, processing, sanction by banks, transfer of margin money subsidy on pmegp loan and creation of Term Deposit Receipt (TDR) in applicant’s name.

PM Employment Generation Programme Scheme 2021 – Modifications / Improvements

CCEA has approved the following modifications in the PM Employment Generation Program Scheme 2021 which are as follows:-

1.Second loan amounting to Rs. 1 crore to existing and better performing PM Employment Generation Program units to upgrade themselves with subsidy of 15%.
2.Provision of Merging Coir Udyami Yojana (CUY) in Prime Minister Employment Generation Program .
3.Concurrent monitoring and evaluation introduction.
4.Compulsory Aadhaar and Pan Card.
5.Geo-tagging of PMEGP units.
6.PMEGP ammendment – serving / selling non-vegetarian food at Hotels / Dhabas and Off Farm / Farm Linked activities are approved.
7.Dispensing the ratio of 30:30:40 for KVIC:KVIB:DIC.
8.Working capital component for manufacturing units is fixed to 40% of the total project cost. Moreover for service / trading sector, capital component is fixed to 60% of project cost

PMEGP Scheme 2021 Details

PMEGP is credit-linked subsidy program by Ministry of Medium, Small and Micro Enterprises (MSME) operational since 2008-09. Subsequently, pmegp scheme will create self-employment opportunities through establishment of micro-enterprises in the non-farm sector. Accordingly, central govt. provides financial assistance to help traditional artisans and unemployed youth in rural / urban areas.

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