Employment generation scheme seeks CCEA nod

After having announced the merger of its flagship scheme — Rural Employment Generation Programme (REGP) — with the Prime Minister’s Rozgar Yojana (PMRY), the Micro, Small and Medium Enterprises (MSME) Ministry has firmed guidelines for the merged scheme to be implemented by June-end.

Under the revised guidelines, the Prime Minister’s Employment Guarantee Programme (PMEGP) scheme envisages creation of 41.36 lakh additional employment opportunities in the 11th Plan, with a revised target of 6.8 lakh for 2008. It stipulates extending 40 per cent subsidy, up to a maximum loan amount of Rs 2 lakh for SC/STs. Thereafter, a subsidy of 15 per cent to SC/STs and 10 per cent for the rest, up to the maximum loan amount of Rs 25 lakh has been extended.

Guidelines for the merged scheme will now be sent to Cabinet Committee on Economic Affairs (CCEA) for a formal approval. The scheme is likely to be operational by June-end this year, confirmed a senior official in the ministry.