TN among top 3 beneficiary states of PMEGP subsidy

Tamil Nadu has emerged as one of the top three states to receive the highest subsidy support under the Prime Minister’s Employment Generation Programme (PMEGP).

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Since its inception in FY 2008-09 up to August 18, 2025, the scheme has disbursed a total of ₹28,965.76 crore in Margin Money (MM) subsidy across States and Union Territories, Union Minister of State for Micro, Small and Medium Enterprises Sushri Shobha Karandlaje informed the Lok Sabha.

During this period, 68,639 micro enterprises have been assisted in Tamil Nadu, generating an estimated 6.40 lakh employment opportunities.

Maharashtra topped the list with ₹3,799.99 crore disbursed, followed by Uttar Pradesh (₹3,142.73 crore), Tamil Nadu (₹2,417.93 crore), and Gujarat (₹2,378.18 crore). Other major beneficiaries include Jammu & Kashmir (₹2,075.30 crore), West Bengal (₹1,923.53 crore), Karnataka (₹1,590.52 crore), Bihar (₹1,377.71 crore), Rajasthan (₹1,209.39 crore), and Madhya Pradesh (₹1,195.65 crore).

Among smaller states and Union Territories, Assam received ₹827.48 crore, Punjab ₹676.42 crore, Haryana ₹646.85 crore, Odisha ₹1,152.72 crore, and Kerala ₹553.40 crore. Northeastern states also received significant support, with Manipur securing ₹275.94 crore, Mizoram ₹157.74 crore, Meghalaya ₹144.29 crore, and Nagaland ₹156.32 crore.

On the lower end, Lakshadweep (₹2 crore), Daman and Diu (₹1.63 crore), and Chandigarh (₹8.01 crore) recorded the least disbursals.

The PMEGP is a Central Sector Scheme aimed at supporting entrepreneurs in establishing new micro-enterprises in the non-farm sector. General Category beneficiaries are eligible for Margin Money subsidies of 25% of the project cost in rural areas and 15% in urban areas, while Special Category beneficiaries—including SCs, STs, OBCs, Minorities, Women, Ex-servicemen, Persons with Disabilities, Transgenders, and those from the Northeastern Region, Hill and Border areas, and Aspirational Districts—are entitled to higher subsidies of 35% in rural areas and 25% in urban areas.

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