PMEGP needs to reach grass root level, says Kalraj Mishra

MUMBAI: Union Minister Kalraj Mishra today said that there is a need for the Prime Minister's Employment Guarantee Programme (PMEGP) to reach grass root levels.

Mishra, who holds the charge of MSME (Micro, Small and medium Enterprises), held a meeting with bankers, officials of the Maharashtra Khadi and Village Board and state industry department here to review the progress, an official release said.

He said the banks should avoid delay in sanctioning of loans.

"Timely sanction of the projects will result in getting subsidy to the beneficiaries without any hurdle," he said.

The minister also said banks should ensure that maximum benefits of the PMEGP scheme be given to women, SC/ST and weaker section and unemployed youths in the country.

Mishra asked the banks to give clear directions to their respective branches that they should adhere to the RBI guidelines as above so that the small beneficiaries are benefited.

PMEGP is a flagship programme of the Centre for generating employment opportunities by setting up micro enterprises in the rural as well as urban areas.

The scheme is implemented through field offices of the Khadi and Village Industries Commission, State Khadi and Village Industries Boards and District Industries Centres of the respective state government.

PMEGP has excelled in its performance during 2014-15 generating employment of 3.57 lakh people by setting up 48,168 micro level entrepreneurial units with the financial assistance extended by the Banks.

KVIC extended Rs 1,122.54 crore subsidy with the financial support from MSME Ministry.