India is a developing country that is making great strides in economic development. However, unemployment is still a significant concern that ails the country. In 1993, the Central Government launched the Pradhan Mantri Rojgar Yojana (PMRY) to provide gainful employment to unemployed individuals. The scheme helps educated, unemployed youth access financial assistance and become gainfully employed. Read on to get a detailed insight into Pradhan Mantri Rojgar Yojana.
The PMRY full form is Pradhan Mantri Rojgar Yojana. This scheme provides subsidized loans to educated but unemployed individuals. Through the PMRY, borrowers can get a loan of the desired capital to start their businesses and become self-employed.
Prime Minister Rojgar Yojana (PMRY) was implemented primarily to address the growing unemployment in India. With the funding offered by the scheme, unemployed youths can potentially set up small businesses and contribute positively to the economy. New business ventures also add to the country’s GDP (Gross Domestic Product) and help generate new opportunities for employment for others.
Thus, with the PM Rojgar Yojana, the Government aimed to tackle unemployment, supercharge the GDP, empower the youth, and boost the job prospects of other unemployed individuals in the country.
Here are some of the prominent features of the PM Rojgar Yojana:
Not everyone can avail of a loan through the Prime Minister Rojgar Yojana scheme. The scheme is open to borrowers who fulfil the specified eligibility criteria. These criteria include the following:
|Age limit||The borrower should be aged between 18 years and 35 years. For the North-Eastern States, the age limit is 18 to 40 years. In the case of physically handicapped individuals, women, ex-servicemen and borrowers belonging to the Scheduled Caste or Scheduled Tribe, the maximum age is 45 years.|
|Educational qualification||The borrower should be at least a Class 8 graduate. Borrowers who have received training in any trade from any Government or approved institution for at least 6 months would be given preference.|
|Income limit||The total income of the borrower, including the spouse, should not be more than Rs.40,000 p.a.If the borrower is unmarried, the total income of the parents should not be more than Rs.40,000 p.a.|
|Residency status||The borrower should be a resident of the area for a minimum of 3 years where they want to start the venture. The rule, however, does not apply to newly married women. In such cases, the residency criterion would apply to their husbands or in-laws.|
|Other criteria||The applicant should not be a loan defaulter. Only one member per family can apply for the PMRY scheme. The applicant should not have availed of any subsidy-linked scheme earlier.|
The following set of documents would be required when you apply for the Prime Minister Rojgar Yojana (PMRY) scheme to avail of a subsidised loan –
Follow these steps to apply for a PMRY Loan:
Step 1: Prepare a complete report of the proposed project containing the details of the business and the amount of loan required.
Step 2: Visit the official website and download the PMRY form.
Step 3: Fill out the necessary details as given in the form.
Step 4: Submit the filled form along with the necessary documents at the local bank or DIC (District Industries Center), which are listed under the PMRY scheme.
Step 5: The lender (bank) would scrutinize the application and the project, and if found satisfactory, the candidates would be contacted by the bank within a week.
Here are some essential things that you should know about the Prime Minister Rojgar Yojana loan before you apply for it:
Pradhan Mantri Rojgar Yojana (PMRY) provides financial assistance to deserving youth who are unemployed. With the help of the subsidized loan, you can give wings to your venture, become productive and earn a living. Apply for a PMRY loan if you are eligible.
If, however, you are not eligible or if you require a simpler loan, you can opt for a Navi personal loan. Navi personal loans offer funds up to Rs.20 lakh that you can use to establish your business. With a simple process, online processing and quick issuance, Navi personal loans can give you the capital you need.
So, establish your business today and hone your entrepreneurial skills to become successful!
Ans: Yes, people living in urban areas can also apply for the PMRY loan. They should, however, fulfil the specified criteria.
Ans: The subsidy allows you interest-free loans. You don’t have to pay interest on the subsidized part of the loan. This reduces the interest cost and helps you pay off the loan affordably.
Ans: You can avail of a term loan and a working capital loan under the scheme.
Ans: No, the specified margin money would be needed as a down payment before the loan is sanctioned. You cannot get funding for the full cost of the project.
Ans: No, there are no hidden charges for the loan availed under Prime Minister Rojgar Yojana scheme.
Looking for instant 🚀 personal loans 24*7 anywhere, anytime? Get personal loans up to ₹20 lakh starting at 9.9% p.a. Install the Navi app now!
Disclaimer: This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The information contained in this article is for general purposes only and not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information, and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision taken on the basis of this article.
Union Budget 2023: 10 Key Highlights by Nirmala SitharamanNirmala Sitharaman, India's Finance Minister, released a budget proposal for 2023, which emphasised... Read More »
What is Sortino Ratio – Formula and Calculations with ExamplesSortino ratio is a statistical tool that helps measure an investment’s performance during a downw... Read More »
What is Forfaiting – Benefits and Process with StepsForfaiting is a financial process involving the management of finance exports. It aids businesses b... Read More »
How to Open, Transfer or Close a PPF Account: Eligibility and DocumentsPPF (Public Provident Fund) investments come with many benefits. You get to enjoy assured returns, ... Read More »
What is an Affidavit – Features, Types, Format and SampleAn affidavit is a sworn written statement, made especially under affirmation or oath befo... Read More »
What is Employee Stock Ownership Plan (ESOP): Scheme, Benefits, Taxation and TypesMost Indian companies, especially startups, offer a plethora of employee benefit plans in a bid to ... Read More »
Sukanya Samriddhi Yojana: Bank Interest Rates and How to Open One?Honourable Prime Minister Narendra Modi launched Sukanya Samriddhi Yojana as an important part of t... Read More »
What is a Prospectus – Working, Types and Use in Mutual FundsA prospectus is a legal document disclosing information regarding a public company seeking to raise... Read More »
A Step-by-Step Guide to UAN Generation and Activation ProcessThe Employee Provident Fund Organisation (EPFO) assigns a unique 12-digit number or UAN (Universal ... Read More »
EPF Vs PPF – Difference, Taxation and Where to InvestEmployees Provident Fund (EPF) and Public Provident Fund (PPF) are two of the most popular long-ter... Read More »
Best SIP Mutual Funds To Invest In India (2023) – Its Types And TaxationA Systematic Investment Plan (SIP) is a convenient way to invest a fixed sum in mutual funds. For i... Read More »
All information is subject to specific conditions | © 2023 Navi Technologies Ltd. All rights are reserved.