Pandit Deendayal Gramodyog Rojgar Yojana 2026: UP Interest Subsidy Loan, Apply Online at upkvib.gov.in

Pandit Deendayal Gramodyog Rojgar Yojana is an interest subsidy scheme run by the Uttar Pradesh Khadi and Village Industries Board (UPKVIB). It gives extra interest support to rural units that have already been set up and financed under the Prime Minister's Employment Generation Programme (PMEGP). Eligible rural entrepreneurs can get an additional interest subsidy of up to 13 percent per year on the loan amount for three years from the date of the first loan release.

Uttar Pradesh government invites applications for the scheme online at the official website upkvib.gov.in. The scheme is being run for the financial year 2026-27 across all districts of the state. The state government led by Chief Minister Yogi Adityanath has made a provision of providing financial support to rural youth in the form of interest subsidy on loans.

Uttar Pradesh Pandit Deendayal Gramodyog Rojgar Yojana

Pandit Deendayal Gramodyog Rojgar Yojana was designed to solve the growing unemployment in rural areas, stop the migration of educated rural youth to cities, and provide more employment opportunities in villages. The scheme also aims to strengthen the financial and economic position of industries set up under the One District One Product (ODOP) scheme by giving them new technology and financial support.

Under this scheme, units financed and set up under the Prime Minister's Employment Generation Programme get interest subsidy support. All the rural units sponsored by the three agencies, namely District Industries Centre, Khadi and Village Industries Commission, and Uttar Pradesh Khadi and Village Industries Board, are covered under the scheme.

For the financial year 2026-27, the scheme is being implemented in the rural areas of all districts of Uttar Pradesh. The state government has also been running the Mukhyamantri Gramodyog Rojgar Yojana under the same board, which gives loans up to ₹10 lakh to unemployed youth and traditional artisans for setting up self-employment.

Highlights of Pandit Deendayal Gramodyog Rojgar Yojana

Detail	Information
Scheme Name	Pandit Deendayal Gramodyog Rojgar Yojana
Run By	Uttar Pradesh Khadi and Village Industries Board (UPKVIB)
Beneficiaries	Rural units set up under PMEGP
Benefit	Interest subsidy up to 13 percent per annum
Duration	Three years from first loan release
Application Mode	Online
Official Website	upkvib.gov.in

Features of Pandit Deendayal Gramodyog Rojgar Yojana

The scheme gives interest support to units that often struggle to stay healthy because of the high project cost under the PMEGP. This helps the units stay strong and create better employment opportunities in the future. The main features of the scheme are given below.

• Pandit Deendayal Gramodyog Rojgar Yojana helps reduce the growing unemployment in the districts of Uttar Pradesh.
• Under the scheme, units financed under PMEGP get interest subsidy (up to 13 percent) on the remaining loan amount after deducting margin money subsidy and entrepreneur contribution, for three years from the date of the first loan release.
• Units that often become weak because of the high cost under PMKEGP get support, so they stay strong and provide better employment.
• All related processes under the scheme are being done online from the current financial year.

How to Apply Online for Pandit Deendayal Gramodyog Rojgar Yojana

Uttar Pradesh government invites Pandit Deendayal Gramodyog Rojgar Yojana application forms online at the official website upkvib.gov.in. Interested candidates should check all the details of the scheme such as eligibility criteria, age limit, and required documents before applying.

The state government of Uttar Pradesh also provides training facilities for candidates selected under the scheme. The aim of the government is to increase employment opportunities for youth across the state.

Pandit Deendayal Gramodyog Rojgar Yojana Application Form PDF

Below is the complete procedure to fill up the Pandit Deendayal Gramodyog Rojgar Yojana application form PDF.

STEP 1 - Interested candidates have to visit the official portal at upkvib.gov.in.

STEP 2 - On the homepage, go to the "Online Services" section and then click on the "Pandit Deendayal Gramodyog Rojgar Yojana" link.

STEP 3 - The Pandit Deendayal Gramodyog Rojgar Yojana e-portal will open as shown below.

STEP 4 - On this page, click on the "Download Required Formats" link to download the Pandit Deendayal Gramodyog Rojgar Yojana application formats.

STEP 5 - Then the "DPR" format as well as the "Workplace Certificate" can be downloaded using the "Download" link. Click on the workplace certificate download link to open the Pandit Deendayal Gramodyog Rojgar Yojana application form.

STEP 6 - This Pandit Deendayal Gramodyog Rojgar Yojana application form serves as the details of the workplace of the unit or business as well as the residence proof.

Eligibility for Pandit Deendayal Gramodyog Rojgar Yojana

Only units that have already received and repaid a loan under the PMKEGP are eligible for the interest subsidy under this scheme. The eligibility conditions are given below.

• Units are eligible for the interest subsidy only after the loan applications sent under PMKEGP are approved and the loan is released.
• Interest subsidy is payable on projects approved in the current financial year.
• A person who is already getting interest subsidy benefit under any other self-employment scheme run by the central or state government is not eligible for this scheme.

Documents Required for Interest Subsidy

To claim the interest subsidy amount, the financing bank has to provide the following documents for the unit.

• Forwarding letter from the sponsoring agency.
• Loan approval letter of the unit from the financing bank.
• Updated bank statement of the loan account of the unit.
• Records related to the term deposit receipt (TDR).
• Interest subsidy claim sheet on the prescribed format.
• Inspection report of the unit by the bank branch manager.
• Photograph of the unit workplace with the beneficiary.

Payment Process of Interest Subsidy

After the margin money (grant) amount is received from the nodal bank under PMKEGP, the bank deducts the margin money amount and the beneficiary contribution from the total project cost. The bank then submits the interest subsidy claim on the remaining loan amount to the District Gramodyog Officer every six months. After the claim amount is checked by the auditor, the bill is passed and the amount is transferred directly to the bank in favor of the beneficiary through NEFT or RTGS.

The maximum limit of interest subsidy under Pandit Deendayal Gramodyog Rojgar Yojana is 13 percent. The interest subsidy amount is paid to the units every six months, and the District Gramodyog Officer informs the beneficiary and the bank about the payment within 7 days.

Process for Running the Scheme

Under the scheme, the demand for interest subsidy at up to 13 percent on the assessed loan amount (project cost minus margin money grant and entrepreneur contribution) is made from the government, keeping in view the targets and the number of units and capital investment in the rural areas of all districts of Uttar Pradesh. The budget received from the government is sent to the district magistrates keeping in view the district target. The Chief Development Officer of the district is the drawing and disbursing officer under the scheme.

The District Gramodyog Officer prepares the file on the basis of all the records received as per rules. After checking the claim sheet and inspecting the unit on site, the interest subsidy payment is made through NEFT or RTGS within 15 days by the District Gramodyog Officer.

When Interest Subsidy is Not Payable

Under the scheme, units financed and set up under PMKEGP do not get interest subsidy benefit in the following situations.

• If the entrepreneur has misused the loan.
• If the entrepreneur has not completed the project work and is deliberately delaying it.
• If the unit is not doing production or service work, or has been closed.
• In the exceptional case of the death of the entrepreneur due to any natural disaster or untimely accident, the matter is examined by the District Magistrate on the basis of the recommendations of the committee formed under PMKEGP, and a decision is taken by the Chief Executive Officer of the Uttar Pradesh Khadi and Village Industries Board.

Recovery of Interest Subsidy if Unit Stops Working

If the entrepreneur closes the industry within 3 years, or deliberately misuses the loan amount, or does not set up and run the unit as per the project, then the banks recover the loan and the paid interest subsidy from the defaulting entrepreneur through the task force committee formed at the district level under PMKEGP.

For more details about the scheme, candidates can visit the official website at upkvib.gov.in.