Sikkim BJP beneficiary expresses gratitude for PMEGP loan support

A beneficiary of the Prime Minister's Employment Generation Programme (PMEGP) in Sikkim has expressed heartfelt gratitude for the financial support received under the scheme. The beneficiary, who availed of a 35% subsidy on a taxi vehicle purchase through the program, credited the initiative for enabling self-employment and economic stability.

As per the direction of Sikkim BJP President D.R. Thapa, the beneficiary shared his appreciation and said that the subsidy helped ease the financial burden of acquiring a vehicle.

The Prime Minister's Employment Generation Programme (PMEGP) is a central government scheme designed to promote self-employment opportunities by providing financial assistance for setting up micro-enterprises. The scheme is implemented by the Khadi and Village Industries Commission (KVIC) at the national level and by various state-level agencies such as the Khadi and Village Industries Boards (KVIBs) and District Industries Centres (DICs).

Under PMEGP, financial assistance is provided in the form of a credit-linked subsidy. For general category beneficiaries, the subsidy is 15% in urban areas and 25% in rural areas. However, for special categories, including Scheduled Castes (SC), Scheduled Tribes (ST), Other Backward Classes (OBC), minorities, women, ex-servicemen, and residents of North Eastern and hill states, the subsidy is 25% in urban areas and 35% in rural areas.

The scheme allows individuals above 18 years of age to apply for financial assistance. For projects in the manufacturing sector, the maximum eligible project cost is Rs 50 lakh, while for business and service sector projects, it is Rs 20 lakh. The subsidy is provided to reduce the financial burden on new entrepreneurs, encouraging them to set up businesses and generate employment.

Moreover, PMEGP offers a second loan facility for upgrading existing businesses under the scheme. For this, the maximum project cost eligible for subsidy is Rs 1 crore in the manufacturing sector and Rs 25 lakh in the service sector. In hill states and the North Eastern Region, the subsidy rate for upgradation is 20%.

The BJP-led government has been promoting schemes like PMEGP to boost self-employment, especially in smaller states like Sikkim, where job opportunities can be limited. By facilitating easy access to financial support, the program has helped many individuals establish their businesses and contribute to the local economy.

Beneficiaries can apply for assistance through the PMEGP e-portal or visit the nearest KVIC, KVIB, or DIC offices for guidance. The scheme is available across multiple regional languages to ensure accessibility for applicants from diverse backgrounds.