PMEGP Loan 2026: Up to 35% Subsidy, Rs 50 Lakh Projects, Apply
📌Quick Facts & Summary
Key Benefit
Projects up to Rs 50 lakh (manufacturing) and Rs 20 lakh (service).
Who Can Apply
Individuals aged 18+, SHGs, institutions, cooperatives and trusts starting new units.
Status / Deadline
UNCERTAIN STATUS: approved up to 2025-26. Extension to 2030-31 (Rs 15,000 crore) under consideration, not confirmed as of 15 Oct 2026. KVIC helpline unverified.
Official Portal
Helpline
KVIC 1800-3000-0034 (verify)
Last Verified
15 October 2026
🔗 Important Action Links (Official Portals):
What is the Scheme?
Bank loan with a margin-money subsidy to start a new small business in manufacturing or services.
Also known as: PMEGP loan, KVIC subsidy loan
Who is it for?
Individuals aged 18+, SHGs, institutions, cooperatives and trusts starting new units.
Benefits and Financial Assistance
| # | Key Benefit / Entitlement Details | Category / Mode |
|---|---|---|
| 1 | Projects up to Rs 50 lakh (manufacturing) and Rs 20 lakh (service). | Primary Benefit (DBT/Subsidy) |
| 2 | Subsidy: general category 15% urban / 25% rural; special category (SC/ST/OBC/minority/women/ex-servicemen/PwD/NER/hill/border) 25% urban / 35% rural. | Direct Support |
| 3 | Own contribution: 10% general, 5% special category. | Direct Support |
Eligibility Criteria
Applicants must meet the following eligibility conditions:
- Age 18 or more.
- Class 8 pass for projects above Rs 10 lakh (manufacturing) or Rs 5 lakh (service).
- New projects only (upgradation of existing PMEGP units is a separate window).
Documents Needed
Keep the following documents ready before submitting your application:
- ✓ Aadhaar, PAN
- ✓ Project report
- ✓ Caste / special category certificate
- ✓ Education certificate
- ✓ Rural area certificate if claiming rural rate
How to Apply Online (Step-by-Step)
- Apply on the PMEGP e-portal, upload project report.
- Choose bank; the district task force reviews; bank sanctions loan.
- Complete EDP training before release.
How to Apply Offline
- Get help at the District Industries Centre (DIC) or KVIC/KVIB office.
How to Check Application / Payment Status
- Log in on the PMEGP e-portal with application ID.
Official Website and Helpline Numbers
| Official Portal | https://www.kviconline.gov.in/pmegpeportal/ ↗ |
|---|---|
| Helpline / Contact | KVIC 1800-3000-0034 (verify) |
| Nodal Ministry | Ministry of MSME (through KVIC, KVIBs and DICs) |
Important Dates & Milestones
Approved to 2025-26; extension pending. Checked 15 Oct 2026.
Frequently Asked Questions (FAQs)
❓ What is the maximum subsidy?
35% of project cost for special category in rural areas.
❓ Is there an age limit?
Minimum 18; no upper limit.
❓ Can I use it for an existing shop?
No, only new units (with a separate upgrade option for PMEGP units).
❓ Is the scheme open now?
Check the e-portal; a new five-year approval is awaited.
Sources & Official References
All facts on this page were verified on 15 October 2026 from the following official government sources:
- PMEGP e-portal: https://www.kviconline.gov.in/pmegpeportal/ [blocked our server check (HTTP 000), likely IP/geo filtering; link taken from official search results, open it from India to confirm] ↗
- PMEGP FAQ: https://www.kviconline.gov.in/pmegpeportal/jsp/FAQ.jsp [blocked our server check (HTTP 000), likely IP/geo filtering; link taken from official search results, open it from India to confirm] ↗
- PIB on PMEGP continuation to 2025-26: https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=1829437 [resolves (HTTP 200)] ↗
- ET report on proposed extension (Oct 2026): https://economictimes.indiatimes.com/news/economy/policy/pmegp-may-get-5-year-extension-till-2030-31-with-rs-15000-crore-outlay-govt-weighs-easier-norms/articleshow/134645705.cms [resolves (HTTP 200)] ↗
Fact-Check Verification: This scheme entry was reviewed and fact-checked by Abhishek (govtschemes.net) using official PIB releases, ministry guidelines, and gazette records.
If you notice any outdated rule or change, please report a correction.
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