The Prime Minister’s Employment Generation Program (PMEGP), is a flagship credit-linked subsidy scheme promoting employment and entrepreneurship. Administered by the Ministry of Micro, Small, and Medium Enterprises (MSME), it seeks to establish micro-enterprises in the non-farm sector across both rural and urban areas.
PMEGP plays a pivotal role in generating employment by empowering traditional artisans, unemployed youth, and prospective entrepreneurs, enabling them to create sustainable livelihoods at their localities. Approved for continuation during the 15th Finance Commission cycle (2021-22 to 2025-26), the scheme contributes to reducing urban migration, enhancing wage-earning potential, and boosting the growth of employment in rural and urban regions.