In this article we are going to discuss the various aspects of the Pradhan Mantri Rozgar Yojana in detail.
Pradhan Mantri Rozgar Yojana or PMRY is launched and initiated by the Central Government of India to implement sustainable self-employment chances and opportunities to 10 lakh educated unemployed students and women in India. Further, it was Launched in 1993, PMRY started this cause by extending the financial assistance in starting one’s business in trade, production, manufacturing, and services sectors.
Advantages of Pradhan Mantri Rozgar Yojana
- Pradhan Mantri Rozgar Yojana works aim to give financial assistance to the unemployed youngsters in the country by implementing self-employment possibilities
- Further, this system creates a bonus of up to 15% of the project cost on the obtained loans
- Moreover, the interest rates imposed on Pradhan Mantri Rozgar yojana are affordable and available to the borrowers
- Further, as per the PMRY scheme, one can acquire a maximum amount of ₹5 Lakh
- Additionally, PMRY loan security varies from 3 years to 7 years
- Additionally, the advantages of PMRY plans can be obtained only when the beneficiaries have passed their 8th standard in education.
Pradhan Mantri Rozgar Yojana – Eligibility
Here are some eligibility criteria for the Pradhan Mantri Rozgar Yojana:
PMRY aims in the establishment of up to ₹7 lakh micro-enterprises through recruiting business and service ventures over two years plus six months. Moreover, Small Scale Industries (SSI) practises its idea to use local support. Further, technologies for prolific purposes and utilise the local business at the micro-level. Therefore, collateral for project amounts up to ₹1 lakh
| Age | For all educated inactive and unemployed people between 18-35 years |
| Educational Qualification | 8th standard – Pass |
| Interest Rate | Additionally, the normal interest rate shall be priced |
| Compensation and Repayment Schedule | Between 3 to 7 years after an introductory moratorium |
| Family Income | The income of beneficiary along with wife/husband nor the income of parents shall exceed ₹40,000/month |
| Residence | Moreover, permanent or citizen resident of the area for at least 3 years |
| Defaulter | Should not be a defaulter to any nationalized financial bank/institution/ cooperative bank |
| Subsidy and Margin money | Moreover, the subsidy will be restricted to 15% of the project cost subject to a ceiling of ₹7,500 per borrower |
| Reservation | Further, weaker sections (STs/SCs), including women |
Features of Pradhan Mantri Rozgar Yojana
Project Value Included under PMRY Scheme (Loan Amount)
| Sector | Project Cost in Rs |
| Business Sector | ₹2 lakh |
| Service Sector | ₹5 lakh |
| Industry Sector | ₹5 lakh |
- PMRY is a centrally sponsored plan with repayment security from 3 years to 7 years
- Further, practice and training are given to borrowers for 15-20 days to guarantee the setting up of their companies and businesses
- Additionally, the primary body of this scheme is the development administrator (Small-Scale Industries). Moreover, Under the Ministry of Small Scale, Rural and Agro, companies and industries.
- Likewise, Commissioner/Administrator of Industries executes the scheme at the state level except for the four metropolitan cities of the country
- Further, each quarter, the State Level PMRY Committee controls the development of the scheme
- Similarly, executing agencies of this scheme are the metropolitan cities of the country
- Moreover, to increase their coverage areas of small fishing, piggery, tea gardens, poultry, and horticulture
- Moreover, simple Equated Monthly Instalments (EMIs) for borrower’s business initialization
Relief Norms and Standards for North Eastern Region
- Subsidy segment at 15% with a higher ceiling of ₹15,000
- Moreover, assistance Qualification for project costing up to ₹2 lakh
- Similarly, margin money may range from 5% to 12.5% of the design cost
What is The Process for Obtaining Pradhan Mantri Rozgar Yojana (PMRY) Loan?
- Step 1 – First, visit the official website portal of Prime Minister’s Rozgar Yojana
- Step 2 – Moreover, download the application form and fill it with all the complete details.
- Step 3 – Further, submit the properly filled form to the particular bank those which come under the PMRY scheme. Further, the concerned bank will get in touch with you.
Documents Required for PMRY
Copies of the following proofs and documents are required to use for Pradhan Mantri Rozgar Yojana (PMRY):
- EDP Training certificate
- Moreover, Driving License
- Additionally, a copy of the Advanced Project Profile
- Experience, eligibility, and technical certificates
- Residency proof for 3 years, ration card or any other evidence and proof of residency
- Proof of Date of Birth (SSC certificate or TC – Transfer Certificate from the school where studied)
- Income certificate announced by MRO (Mandal Revenue Officer)
- Caste certificate declared by MRO, if suitable
Modifications in the PMRY Scheme
- The age limit for SCs/STs, women, ex-servicemen, and physically challenged individuals has been extended by 10 years, now up to 45 years from the previous 35 years
- Educational requirements for eligibility have been lowered from 10th class to 8th class
- The scheme will encompass agriculture and related pursuits but will not include direct agricultural operations like purchasing manure or raising crops
- Group financing eligibility is set at up to ₹5 lakh.
Conclusion
The PMRY is a great scheme to tap into the underused skilled human resources of the country. And while the ideal solution is the creation of jobs in the marketplace, a welfare scheme is necessary in the meantime to ensure that the cost of living of those in need is met. If you have any other queries or require any assistance in legal and regulatory matters, get in touch with us and we will ensure that all your queries are addressed by our vakilsearch team.
Frequently Asked Questions
Who is eligible for the PM Rojgar Yojana?
The program targets educated individuals aged 18-35 who are currently unemployed, with a 10-year age extension for SC/STs, ex-servicemen, individuals with disabilities, and women.
What is the amount of loan for Pradhan Mantri Rozgar Yojana?
The program offers financial support up to ₹2 lakh for projects, and ₹5 lakhs for businesses, services, and industries. Additionally, collateral-free loans of up to ₹1 lakh are accessible through the scheme.
What is the PM scheme for unemployed people?
Since 1993, the Pradhan Mantri Rozgar Yojana (PMRY) has aimed to offer lasting self-employment prospects for one million educated, unemployed individuals in India, with a focus on empowering disadvantaged groups, including women.
How to apply for a loan at PMRY?
Step 1: Begin by accessing the official government website Step 2: Provide the necessary information in the application form Step 3: Submit the form to your local DIC or a bank registered under PMRY Step 4: Attend an interview following the review of your application.
How much loan can I get unemployed?
Banks and lenders offer a variety of loan schemes with different interest rates. The Bank of India Star Pensioner Loan Scheme has an interest rate of 10.75% per annum. The Prime Minister's Rozgar Yojana offers loans based on scheme specifications, while the interest rate for Mudra loans for women varies depending on the bank.
