The Prime Minister’s Employment Generation Programme (PMEGP) has facilitated the establishment of more than 4 lakh micro-enterprises and generated employment for over 36 lakh people during the 15th Finance Commission cycle, according to data released by the government.
According to the Ministry of Micro, Small and Medium Enterprises, the programme is implemented through the Khadi and Village Industries Commission, and provides Margin Money subsidy on bank loans to help prospective entrepreneurs set up new micro-enterprises in the non-farm sector.
The scheme is aimed primarily at promoting self-employment among first-generation entrepreneurs and strengthening sustainable livelihoods in manufacturing and services, particularly in rural India.
As per the government data, during the FY 2021-22 to FY 2025-26 period, the scheme achieved full utilisation of its approved budgetary outlay of Rs 13,554.42 crore. Against the target of establishing 4,02,000 enterprises, PMEGP supported the creation of 4,03,706 micro-enterprises across the country.
The programme also generated sustainable employment opportunities for around 36.33 lakh individuals, reinforcing its role in grassroots economic development and entrepreneurship promotion.
The scheme has made significant strides in promoting inclusive growth as women accounted for nearly 40 per cent of the total micro-enterprises assisted under PMEGP, while around 45 per cent of the total Margin Money subsidy disbursed was provided to women entrepreneurs, data from the MSME Ministry said.
The scheme has also seen strong participation from socially disadvantaged communities, with approximately 54 per cent of beneficiaries belonging to SC, ST and OBC categories.
Rural outreach remained a key feature of the programme, with nearly 80 per cent of the enterprises established under PMEGP located in rural areas, supporting rural industrialisation and balanced regional development.
The ministry said the achievements during the 15th Finance Commission cycle reaffirm PMEGP’s role as a key driver of micro-enterprise development and employment generation, while contributing to inclusive economic growth and the vision of a self-reliant India.