New Enterprise SetupPMEGP

Prime Minister Employment Generation Programme

Ministry of MSME (via KVIC)

Credit-linked subsidy programme for setting up new micro enterprises and generating employment in non-farm sector.

Key Benefits

Manufacturing: Projects up to ₹50 Lakh
Services: Projects up to ₹20 Lakh
General Category: 15% (Urban) / 25% (Rural) margin money subsidy
Special Categories: 25% (Urban) / 35% (Rural) margin money subsidy
Second loan for upgradation: Up to ₹1 Crore (Manufacturing)

Key Features

Own contribution: 10% (General) / 5% (Special)
Special categories: SC/ST/Women/PH/Minorities/Ex-Servicemen/NER/Transgenders
Valid till 2025-26 (15th Finance Commission)
SHGs and cooperative societies also eligible

Eligibility

Individuals 18+ years; 8th pass for manufacturing projects above ₹10 Lakh

Subsidy / Benefit

Up to 35% margin money subsidy (Special Categories, Rural)

Data verified from official government sources