Pradhan Mantri Rojgar Yojana

The main features of PM Rojgar Yojana are explained below:

• PMRY Full Form: PMRY is the abbreviation for Pradhan Mantri Rojgar Yojana.
• Project Cost: 
  • Rs. 1 Lakh for the business sector 
  • Rs. 2 Lakhs for other activities 
  • If two or more eligible persons join in a partnership, projects up to Rs. 10 Lakhs are covered
  • Self Help Groups (SHG) can be considered for assistance under this scheme provided all members of the SHG individually satisfy the eligibility criteria laid down under the scheme. Membership of the group should not exceed 10 numbers and the maximum loan limit for SHG is Rs. 10 Lakhs.
• Subsidy & Margin Money: 
  • The subsidy is limited to 15% of the margin money project cost (subject to a ceiling of Rs. 7,500 per entrepreneur). Banks are allowed to take margin money from the entrepreneur varying from 5% to 16.25% of the project’s cost to make the total of the subsidy and margin money equal to 20% of the project cost.
  • For North-Eastern States, Himachal Pradesh, Uttaranchal, and J&K, the subsidy is 15% of the project cost (subject to a ceiling of Rs. 15,000 per entrepreneur). Margin money contribution from the entrepreneur can vary from 5% to 12.5% of the project’s cost to make the total of the subsidy and margin money equal to 20% of the project cost. 
• Collateral: 
  • No collateral is required for units in the industry sector with the project cost up to Rs. 2 Lakhs (the loan ceiling under the PMRY). 
  • For partnership projects under the industry sector, the exemption limit for obtaining collateral security will be Rs. 5 Lakhs per borrower account. 
  • For units in the service and business sector, no collateral is required for projects up to Rs. 1 Lakh. 
  • Exemption from collateral in case of a partnership project, will also be limited to an account of Rs. 1 Lakh per person participating in the project.
• Rate of Interest and Repayment: A normal interest rate will be charged on the loan. The repayment schedule may range between 3 to 7 years after an initial moratorium (as may be prescribed).
• Reservation: Preference is given to weaker sections including women. The PMRY scheme provides: 
  • 22.5% reservation for Scheduled Castes/Scheduled Tribes (SC/ST) 
  • 27% for Other Backward Classes (OBCs)
  • In case SC/ST/OBC candidates are not available, the States/Union Territories government will be competent to consider other categories of candidates under PMRY.
• Training: Each entrepreneur (whose loan is sanctioned) will be provided training as given below: 
  • For the industry sector: Training for 15 working days with a stipend of Rs. 300 Training expenditure is Rs. 700 per beneficiary 
  • For service & business sectors: Training for 10 working days with a stipend of Rs. 150. Training expenditure is Rs. 350 per beneficiary.
  • Implementing Agency: Mainly, the District Industry Centers and the Directorate of Industries are responsible for implementing the Rozgar Yojana along with the banks.

The interest rate charged under this scheme is determined by the Reserve Bank of India (RBI) and is subject to change at any time. A normal rate of interest is charged on the PMRY scheme. The repayment schedule may range between 3 to 7 years after an initial moratorium (as prescribed). For more information about the applicable interest rate, you may contact the concerned lender.

Availing of a PMRY loan does not involve any fees or charges.

Follow the steps given below to apply for a loan under the PM Rozgar Yojana:

• If you want a PMRY loan yojana apply online by visiting the official website of PMRY at https://pmrpy.gov.in/.
• Download the application form and then fill it in with the required details.
• Submit the form to the respective local DIC or PMRY-registered bank.
• You will be required to appear for the interview after your application is reviewed by the bank.
• The responsible authorities will shortlist candidates for a loan under the scheme after the interview.

You will be required to submit copies of the following documents to apply for Pradhanmantri Rojgar Yojana:

• Application Form: Filled and signed with recent passport-sized photographs
• Identity Proof: PAN Card/ Aadhaar Card/ Driver’s Licence/ Passport
• Age Proof: Birth Certificate/ SSC Certificate/ TC from School where studied/ other accepted documents
• Income Proof: Income Certificate issued by the Mandal Revenue Officer (MRO)
• Residence Proof for 3 Years: Ration Card/ other accepted documents.
• Other Documents: Education proof, Caste Certificate (issued by MRO), Profile of the Proposed Project, EDP (Entrepreneurship Development Programme) Certificate, Affidavit signed by the Notary Officer, and other documents (as requested by the lender).

The following are the eligibility criteria for Pradhan Mantri Rozgar Yojana:

• Age: 18 to 35 years for all educated unemployed, 18 to 40 years for all educated unemployed in North-East states, Himachal Pradesh, Uttaranchal, and Jammu & Kashmir, and 18 to 45 years for scheduled castes, scheduled tribes, ex-servicemen, physically disabled and women. 
• Educational Qualification: 8th pass. Preference is given to applicants who have been trained for any trade-in Government recognised/approved institutions for at least 6 months. 
• Family Income: The income of the beneficiary along with their spouse/ parents should not exceed Rs. 40,000 per annum. 
• Residence: The applicant should be a permanent resident of the area for at least 3 years. This criteria is relaxed for married men in Meghalaya and married women in the rest of the country). 
• Default: The applicant should not be a defaulter of any bank/ financial institution/ co-operative bank. 
• Existing Assistance: A person already assisted under other subsidy-linked Government scheme(s) is not eligible under this scheme.
• Activities Covered: All economically viable activities including agriculture & allied activities (except direct agricultural operations like raising crops, purchase of manure, etc.). The illustrative list of activities is available at DICs.

Here are the implementing agencies of the PM Rojgar loan:

• The Development Commissioner (Small-Scale Industries) under the Ministry of Small Scale, Rural & Agro Industries, Government of India is the apex body.
• The implementation of the scheme is done at the State level under the respective Commissioner/Director of Industries, except for 4 metropolitan cities. 
• In the metropolitan cities, the Small Industries Service Institute (SISI) handles the implementation of the scheme.
• DCSSI formulates the regulations, rules and guidelines and provides clarification on matters about the PMRY scheme.
• DCSSI also monitors the progress of the scheme.
• On a state level, the State Level PMRY Committee monitors the progress.