The Ministry of Micro, Small and Medium Enterprises said the Prime Minister’s Employment Generation Programme (PMEGP) supported the establishment of 403,706 micro-enterprises during the 15th Finance Commission period from FY22 to FY26.
Implemented through the Khadi and Village Industries Commission, the scheme generated employment opportunities for around 3.63 million people. The approved budget allocation for the programme stood at ₹13,554.42 crore during the 5-year period.
According to PIB data, the programme exceeded its target for enterprise creation. Against a target of 402,000 units during the Finance Commission cycle, PMEGP recorded the establishment of 403,706 enterprises.
The scheme provides margin money subsidy linked to bank loans for setting up new non-farm micro-enterprises. It is mainly for the first-time entrepreneurs operating in the manufacturing and service sectors.
The ministry said the allocated funds for the programme were fully utilised during the period.
Nearly 80% of enterprises supported under PMEGP were established in rural areas, the government said. The programme has been used to support small business activity in villages and smaller towns through credit-linked assistance.
Officials said the scheme contributed to local employment generation through units involved in services, food processing, repair work, handicrafts and other small-scale activities.
The programme forms part of the government’s self-employment initiatives for the micro-enterprise segment outside agriculture.
Women accounted for close to 40% of the enterprises assisted under the scheme between FY22 and FY26. Around 45% of the total margin money subsidy released under PMEGP was disbursed to women entrepreneurs.
The ministry also said around 54% of beneficiaries belonged to Scheduled Castes, Scheduled Tribes and Other Backward Classes categories.
Read More: Subhadra Scheme: Odisha Govt Disburses ₹61 Crore to 79,000+ Women After Fixing Verification Issues!
PMEGP will continue in the next cycle with a focus on extending coverage and supporting new micro-enterprises across rural and semi-urban regions.
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Published on: May 8, 2026, 12:21 PM IST
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