Margin money to the tune of Rs 750 cr disbursed
*Guarantees worth Rs 2419 cr approved under Credit Scheme
Mohinder Verma
JAMMU, Dec 24: Prime Minister’s Employment Gene-ration Programme (PMEGP) is making thousands of unemployed youth of Union Territory of Jammu and Kashmir self-dependent as during the past three years Rs 750 crore has been disbursed as margin money for establishment of over 35,000 units. Moreover, guarantees worth over Rs 2400 crore were approved under the Credit Guarantee Scheme for Micro and Small Enterprises.
The Ministry of Micro, Small and Medium Enterprises is implementing various schemes and programmes for the promotion and development of sector in Jammu and Kashmir which include Prime Minister’s Employment Generation Programme (PMEGP), Micro and Small Enterprises-Cluster Development Programme, Scheme of Fund for Regeneration of Traditional Industries, Credit Guarantee Scheme for Micro and Small Enterprises and a Scheme for Promoting Innovation, Rural Industry and Entrepreneurship.
Under PMEGP, beneficiaries can get a subsidy amounting to 15-35% of the project cost from the Government and the objective of the scheme is to generate employment opportunities by establishing self-employment projects, micro enterprises and ventures.
As per the official data available with EXCELSIOR, under this scheme, a total of 5046 units were approved and margin money to the tune of Rs 100 crore was given to the beneficiaries in the year 2019-20 and this number increased to 8575 units involving margin money of Rs 183 crore in the year 2020-21. However, during 2021-22, the number of beneficiaries increased substantially as 21648 units involving margin money of Rs 467 crore were approved and established.
In 2021-22, the maximum number of units were established in Baramulla (3011) followed by Budgam (2994), Pulwama (2184) and Anantnag (1842). In this way, Union Territory of Jammu and Kashmir surpassed all States and UTs in establishment of units under PMEGP in one year as establishment of 21648 units created the highest number of 1.73 lakh jobs.
The establishment of record number of PMEGP units in one year is testimony of how people of J&K, after abrogation of Article 370 are participating in Government schemes to strengthen the local economy and pave the way for overall development of the UT. Moreover, this has also brought to the fore that prior to 2019-20 no serious efforts were made to popularize the scheme amongst the unemployed youth.
The Credit Guarantee Scheme for Micro and Small Enterprises takes care of those youth who are having bankable business ideas but lack collateral security and /or third party guarantee to access credit from formal source. The Scheme extends them helping hand by providing guarantee to enable them access credit leading for setting up viable micro and small enterprises thereby transforming them from job seekers to job providers.
As per the official data, a total of 12849 guarantees involving an amount of Rs 410 crore were approved under the scheme during the financial year 2019-20 and this number increased substantially to 21371 guarantees involving an amount of Rs 714 crore during financial year 2020-21. Further, the number jumped to 38,352 guarantees involving an amount of Rs 1295.17 crore during 2021-22 financial year. The maximum guarantees were approved in Budgam district (5206) followed by Srinagar (4868), Pulwama (4120) and Anantnag (3473).
As per the official figures, a total of 1,52,010 Micro, Small and Medium Enterprises were registered on Udyam Registration Portal since inception till December 9, 2022.
“It is because of the persistent monitoring by the Ministry of Micro, Small and Medium Enterprises and constant efforts of the Government of Union Territory of Jammu and Kashmir that such a large number of people have obtained benefits of both these schemes”, officials said, adding “efforts are being made so that more unemployed youth obtain benefits and become self-dependent besides job providers in the coming years”.
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