PMEGP Scheme 2026 Online Application Form - Apply at pmegp.msme.gov.in

PMEGP Scheme Online Application Form: Central government is accepting Prime Minister Employment Generation Programme (PMEGP) online application form at the official portal pmegp.msme.gov.in. PMEGP is a credit-linked subsidy scheme run by the Ministry of Micro, Small and Medium Enterprises (MSME), with Khadi and Village Industries Commission (KVIC) as the nodal agency. The scheme helps set up new micro-enterprises in the non-farm sector.

PMEGP scheme provides margin money subsidy of 15% to 35% of the project cost. The project cost ceiling is Rs. 50 lakh for manufacturing units and Rs. 20 lakh for service and business sector units. Interested individual and non-individual applicants can apply online through the PMEGP e-portal at pmegp.msme.gov.in.

PMEGP Scheme Online Application Form 2026

Below is the complete procedure to apply online at the PMEGP e-portal:-

STEP 1: Firstly visit the official website pmegp.msme.gov.in.

STEP 2: On the homepage, click the "Application For New Unit" link under the PMEGP Application section.

STEP 3: The Prime Minister Employment Generation Programme online application form will open. Candidates have to fill in their Aadhaar number and PAN card number first, then validate the details.

STEP 4: Here candidates have to fill in all the details like personal information, unit address, project details, bank details and upload the required documents. Then click the "Submit" button to complete the PMEGP registration process.

STEP 5: Finally, registered candidates can make "PMEGP Login for Applicant" and fill the remaining application form to complete the application process.

All the applications received on the PMEGP e-portal get processed online. Candidates must read the pmegp guidelines to fill the online application form. Non-individuals and groups can also fill the application form through the relevant link on the portal.

PMEGP Scheme Highlights

Apply For Upgradation / Expansion of Existing PMEGP / REGP / MUDRA Units (Second Loan)

People can now apply for upgradation / expansion of existing PMEGP, REGP or MUDRA units. This is the PMEGP second loan. The project cost ceiling for the second loan is Rs. 1 crore for manufacturing units and Rs. 25 lakh for service units. Each beneficiary gets 15% to 20% subsidy on the second loan.

For this purpose, visit the official link at pmegp.msme.gov.in and click "Application For Existing Units (2nd Loan)". The link to apply online for the PMEGP second loan is present there as shown below:-

Upon clicking the Apply Online link, the PMEGP Second Loan Subsidy Online Application Form will appear as below:-

Here enter all the required details as asked and then submit the complete application form for the PMEGP second loan subsidy.

Eligibility Criteria to Apply Online for PMEGP Scheme 2026

The applicants must fulfill the following eligibility criteria for PMEGP:-

• Individual above the age of 18 years can apply for PMEGP scheme. There is no upper age limit and no income ceiling.
• Applicant must be minimum 8th standard pass for projects above Rs. 10 lakh in manufacturing sector and above Rs. 5 lakh in business and service sector.
• PMEGP only sanctions new projects and this scheme is not applicable for existing ongoing projects.
• All Self Help Groups including below poverty line (BPL) SHGs with a pre-condition that these SHGs have not availed benefit of other schemes are eligible.
• Institutions registered under Societies Registration Act 1860, Production Co-operative Societies and Charitable Trusts are also eligible.
• Non Eligible - All the existing units under PMRY, REGP and any other central or state government scheme are NOT eligible. Even any unit that has taken the government subsidy under any government scheme is NOT eligible.

Benefits of PMEGP Scheme in India

• The maximum cost of the project or unit admissible under manufacturing sector is Rs. 50 lakh and under business or service sector is Rs. 20 lakh.
• Per capita investment should not exceed Rs. 1.00 lakh in plain areas and Rs. 1.50 lakh in hilly areas.
• Own contribution is 5% to 10% of project cost.
• General category beneficiaries can avail margin money subsidy of 25% of the project cost in rural areas and 15% in urban areas. For beneficiaries belonging to special categories such as SC, ST, OBC, women, ex-servicemen and physically handicapped, the margin money subsidy is 35% in rural areas and 25% in urban areas.
• Collateral-free loan cover up to Rs. 10 lakh is available under CGTMSE.

PMEGP Scheme Subsidy Amount

Following the maximum limits for cost of projects under PMEGP which is Rs. 50 lakh for manufacturing sector and Rs. 20 lakh for business / service sector, central government provides subsidy. The distribution of margin subsidy is as follows:-

Objectives of Prime Minister Employment Generation Programme

(i) To generate employment opportunities in rural as well as urban areas of the country through setting up of new self-employment ventures, projects and micro-enterprises.
(ii) To bring together widely dispersed traditional artisans and rural and urban unemployed youth and give them self-employment opportunities to the extent possible, at their place.
(iii) To provide continuous and sustainable employment to a large segment of traditional and prospective artisans and rural and urban unemployed youth in the country, so as to help stop migration of rural youth to urban areas.
(iv) To increase the wage earning capacity of artisans and contribute to increase in the growth rate of rural and urban employment.

About Prime Minister Employment Generation Programme

PMEGP is a credit-linked subsidy scheme by the Ministry of Micro, Small and Medium Enterprises (MSME), operational since 2008-09. The scheme was launched in 2008 by merging two schemes in operation, namely Prime Minister Rojgar Yojana (PMRY) and Rural Employment Generation Programme (REGP), with Khadi and Village Industries Commission (KVIC) as the nodal agency.

Cabinet Committee on Economic Affairs (CCEA) approved the continuation of PMEGP for five years from 2021-22 to 2025-26 with an outlay of Rs. 13,554.42 crore during the 15th Finance Commission cycle. The outlay has been fully used and the scheme has exceeded its targets. During the 15th Finance Commission cycle, PMEGP helped set up more than 4 lakh micro-enterprises and generated employment for over 36 lakh people.

Since its inception in 2008-09, about 10.18 lakh micro-enterprises have been assisted with a subsidy of Rs. 27,166 crore, generating estimated sustainable employment for 90 lakh persons. About 80% of the units assisted are in rural areas and about 50% of units are owned by SC, ST and women categories.

PMEGP Scheme Modifications / Improvements

The government has made the following modifications in the PMEGP scheme:-

1. Second loan amounting to Rs. 1 crore to existing and better performing PMEGP units to upgrade themselves with subsidy of 15% to 20%.
2. Provision of merging Coir Udyami Yojana (CUY) in PMEGP.
3. Concurrent monitoring and evaluation introduction.
4. Compulsory Aadhaar and PAN card for applicants.
5. Geo-tagging of PMEGP units.
6. PMEGP amendment - serving / selling non-vegetarian food at hotels / dhabas and off-farm / farm-linked activities are approved.
7. Dispensing the ratio of 30:30:40 for KVIC:KVIB:DIC.
8. Working capital component for manufacturing units is fixed to 40% of the total project cost. For service / trading sector, working capital component is fixed to 60% of project cost.

References

For any further query, candidates can send an e-mail to pmegpeportal.kvic@gov.in or call the PMEGP helpline at 1800-3000-0034.