The Ministry of MSME released a ₹1,000 crore margin money (MM) subsidy under PMEGP, a key step toward self‑employment and grassroots entrepreneurship
The subsidy was launched by Minister Manjhi at the Ministry’s Karyavibhag‑3 in New Delhi. Attendees included State MSME Minister Ms Shobha Karandale, Secretary Bharat Khad, senior officials, the Khadi and Village Industries Commission (KVIC) CEO, the National Small Industries Corporation (NSIC) Chairman‑MD, and the MSME Development Commissioner
PMEGP is one of the Government’s flagship loan‑linked subsidy schemes, aimed at creating permanent self‑employment by setting up new micro‑enterprises in the non‑agri sector. The scheme is implemented nationwide by KVIC, with support from KVIB, District Industry Centres and the Coir Board. Eligible entrepreneurs receive margin money as a subsidy on bank‑approved project loans, with ongoing support from KVIC regional offices and implementing agencies to ensure long‑term viability
Since 2014‑15, PMEGP has had a transformative impact
Since FY2014‑15, PMEGP has become one of India’s leading job‑creation schemes, providing over ₹70,000 crore in bank‑approved loans and ₹25,193 crore in margin money, aiding the establishment of more than 8.38 lakh micro‑enterprises and creating roughly 75 lakh permanent jobs
PMEGP’s achievements reflect its commitment to inclusive, equitable development. About 80% of beneficiaries are in rural areas, 50% belong to SC/ST/OBC, and 40% are women entrepreneurs, underscoring the scheme’s role in social inclusion and empowerment
So far, 11,333 entrepreneurs have benefited from a ₹1,000 crore subsidy
The ₹1,000 crore margin money subsidy will aid 11,333 beneficiaries in setting up new micro‑enterprises, with banks approving project loans of about ₹3,260 crore
These enterprises are expected to generate over 1.02 lakh permanent jobs nationwide, mostly in rural areas, focusing on women‑led and gender‑inclusive development, and inclusive growth for SC/ST and other disadvantaged groups, with special attention to the NE region and aspirational districts
Outstanding performance in FY2026‑27
Before this disbursement, by October 2026 FY2026‑27, PMEGP had already provided ₹794.52 crore in margin money to 25,895 micro‑enterprises. The additional ₹1,000 crore is expected to accelerate entrepreneurship and job creation, strengthening the government’s vision of a self‑reliant, inclusive, employment‑oriented economy
At the event, the Minister highlighted the crucial role of micro‑enterprises in driving economic growth, innovation, and livelihood creation, reaffirming the government’s commitment to provide ample institutional support to aspiring entrepreneurs, especially in rural areas, women, SC/ST/OBC, and economically weaker sections, enabling them to turn entrepreneurial dreams into successful businesses
The MSME Ministry is committed to expanding PMEGP’s reach and strengthening the entrepreneurship ecosystem, aiming to create sustainable livelihoods, boost local manufacturing and services, and contribute significantly to the vision of a developed India through inclusive, broad‑based economic growth