Prime Minister’s Scheme Provides Crucial Financial Assistance to MSMEs

Since inception of the Scheme in FY 2008-09, about 9.65 lakh new micro enterprises have been assisted across the country with total Margin Money (MM) subsidy of Rs. 25,263.32 crore and providing an estimated employment to 78.84 lakh persons.

The year wise financial assistance in terms of MM subsidy disbursed since inception till date (12.07.2024)is as follows:

PMEGP aims at generating employment opportunities in rural and urban areas. Beneficiaries setting up their enterprises in rural areas are eligible for higher Margin Money subsidy, i.e., 25% for beneficiaries belonging to general category and 35% for beneficiaries belonging to special categories such as Scheduled Castes, Scheduled Tribes, OBCs, minorities, women, ex-servicemen, differently abled, transgenders, beneficiaries belonging to Northeastern Region, Hill and Border areas, and Aspirational Districts, as compared to 15% for General category and 25% for special categories for beneficiaries setting up their enterprise in urban areas. The employment generated through interventions under PMEGP during the last 5 years in rural and urban areas is given below:

Financial assistance in terms of Margin Money subsidy provided during the last 5 years has witnessed an increase of10%CAGR. State/UT-wise financial assistance in terms of Margin Money subsidy disbursed under PMEGP during the last 5 years is given below:

Rs. In Lakhs