KVIC creates record highest employment under PMEGP

The Khadi and Village Industries Commission (KVIC) created over 8.25 lakh jobs Under PMEGP

Skills, Labor and Talent for MSMEs: The new units cost around ₹ 12,000 crore with a total capital of ₹ 2,978 crore margin money subsidy, the highest since 2008, was disbursed by the Khadi and Village Industries Commission (KVIC).

To promote entrepreneurship and create employment through financial assistance to individuals, PMEGP has set aside a maximum of ₹ 25 lakh and for new service units ₹ 10 lakh.

The number of jobs created by micro-enterprises set up under the Prime Minister’s Employment Generation Program (PMEGP) has reached a record high of 8,25,752 in FY22 since the program’s inception in 2008, the MSME ministry said on Tuesday.

For the first time in the last 14 years, the number of enterprises established during the year increased from 1 lakh to 1,03,219.

The new units cost around ₹ 12,000 crore with a total capital of ₹ 2,978 crore margin money subsidy, the highest since 2008, was disbursed by the Khadi and Village Industries Commission (KVIC), the implementing body of the program, when the bank credit flow was. The remaining about Rs. 9,000 crore.

The establishment of new units and job creation under PMEGP in FY22 increased by 39% from FY21, while margin money distribution (subsidy) increased by 36%.

“Despite a partial lockdown for the first three months of the year in the country during the second wave of the Covid-19 epidemic, PMEGP has emerged as the most powerful tool of government self-sustainability in the year 2021-22,” the ministry said.

Moreover, since FY15, when the Bharatiya Janata Party came to power and Narendra Modi was sworn in as the Prime Minister of India, the number of newly created PMEGP units increased by 114 per cent while employment creation increased by 131 per cent in FY22. Margin money distribution has also risen by 165 per cent.

“The Covid-19 epidemic has done great things for local production and self-employment. Large numbers of youth, women and migrants were encouraged to engage in self-employment activities under PMEGP.

In addition, a number of policy decisions taken by MSMEs and KVIC Ministries to expedite the implementation of the project under PMEGP have helped KVIC to achieve its best performance so far, ”said Shri Vinai Kumar Saxena, Chairman, KVIC.

To promote entrepreneurship and create employment through financial assistance to individuals, PMEGP has set aside a maximum of ₹ 25 lakh and for new service units ₹10 lakh.

The plan allows anyone over the age of 18 and at least a VIII grade pass to apply for assistance. Self-help groups, manufacturing co-operative societies, charitable trusts etc. are also eligible, however, existing units and units under other government schemes like Pradhan Mantri Rozgar Yojana, Grameen Rozgar Sarjan Program, etc. which have already taken advantage of the government. Subsidies under any other scheme are not eligible for PMEGP.