The Government of Karnataka has launched Scheme called Chief Minister Employment Generation Programme to provide more employment opportunities to Rural Artisans. The entrepreneur who is interested to avail this benefit will be provided loan from the banks and the Margin Money will be provided by Karnataka State Khadi and Village Industries Board/District Industries Centers. This Margin Money will be adjusted to loan account of the Entrepreneur only after 3years of Successful establishment and running of the Units.
The Government of Karnataka, through its order No.CI 134 CSC 2015 Dated:15-10-2015 has released guidelines for the implementation of the scheme in respect of Micro Industrial Units.
The Implementation is regulated by the Director and Commissioner, Department of Industries and Commerce, at the State Level along with the CEO of the Karnataka Khadi and Village Industries Board and the District Level Committee headed by the Deputy Commissioner/District Magistrate of the Concerned District
The Salient features of the scheme
|1.||Beneficiaries own Contribution||The Entrepreneur should deposit his own contribution in the financing branch bank SB A/c @ mentioned below before release of First installment of loan portion. (a) 10% of project cost in case of general category. (b) 5% of project cost in case of special category.|
|2.||EDP Training||The beneficiary should under go EDP training before released of 1st installment loan amount from the financing branch for the projects for the period of 1 week. EDP is compulsory.|
|3.||Educational Qualification||The beneficiary should have Minimum pass in 8th std for availing of loan for the projects.|
|4.||Rural area definition||Revenue Village or a any area whose population does not exceed 20,000.|
|5.||Village Industries definition||Any industry location in rural area which produces any goods (except the product shown in Negative list) or render any service with or without the use of power. The Margin Money Scheme benefits will not be provided to Khadi, Polyster, Wool and Silk industries which are provided with rebate by state and central governments.|
|6.||Per capita investment||The fixed capital investment per head employment should not exceed Rs.1, 00, 000/-|
|7.||Rural Transports||This Scheme is not applicable for financial assistance in respect of rural transport.|
|8.||Negative live||The unit should not take up the production of products included in the negative lists.|
|9.||Limit of Project Cost||The Maximum limit of project cost is Rs.10.00 lakhs.|
The loans for the projects will be provided by the selected Nationalized Banks, Private Scheduled Banks, Grameena Banks and Co-operative Banks. The Margin Money component will be provided by the implementing agencies.
The Margin Money component details are as furnished below.
|Category||Beneficiary contribution (in% of Project cost||Bank loan (in% of project cost)||Margin Money percentage of project cost (Credited to Financing Banks and beneficiary A/c.|
|Special Category SC/ST, OBC, Minority, Women, Physically Challenged/Ex-servicemen)||5%||95%||35%|
As per the scheme the RURAL AREA means.Any area classified Village as per the revenue records or any area population of which does not exceed 20,000 persons
EDP Training is mandatory for all those beneficiaries who have been sanctioned assistance under CMEGP entrepreneur as prescribed under the rules.
Contact nearest KVIB /DIC /Bank Offices.
Khadi Bhavan ,No.10,Jasma Bhavan Road, Bangalore-560052. Phone :22643445/22643439 E-mail : email@example.com