SWARNJAYANTI GRAM

SWAROJGAR YOJNA
1999

LAUNCHED BY :
Govt. of India from 1-4-1999
SGSY Scheme is a merger of erstwhile various
following schemes :
1. IRDP (Integrated Rural Development Scheme)
2. TRYSEM (Training of Rural Youth for Self
Employment)
3. DWCRA (Development of Women and
Children in Rural Area)
4. SITRA (Supply of Improved Tool kits to
Rural Artisans)
5. GKY (Ganga Kalyan Yojna)
6. MWS (Million Wells Scheme)
Thus, SGSY is Restructuring of all these
Programmes.
IMPLEMENTING AGENCIES

1. Commercial Banks
2. Regional Rural Banks
3. Cooperative Banks
4. Financial Institutions
5. Panchayati Raj Institutions
6. District Rural Development Agency.
7. Technical Institutions in District involved
in process of planning, implementation
and monitoring ( such as ITIs/Polytechnic
etc.)
QUANTUM OF LOAN AND COST OF PROJECT:

For Economic Activity: as per unit cost
prescribed by District SGSY Committee (with the
help of NABARD for Farm Activities.
Unit cost to be financed as COMPOSIT LOAN,
(WC + Investment cost)
Disbursements up to Rs.10,000/- in cash
permitted .
CONSUMPTION LOANS:
Maximum Rs.2000/- per Swarojgari.
TARGET GROUPS:
1. Women 40%
2. SC/ST 50%
3. Disabled 3%
4. Other Poor 7%
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100%
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S U B S I D Y:
SC/STs @ 50% Maximum Rs.10,000/-
Groups of Swarojgaris /SHG @ 50% Maximum
Rs. 1.25 Lakh.
Subject to maximum per capita Being
Rs.10,000/-.
No monetary ceiling on subsidy for Irrigation
Projects.
For early repayment, subsidy on pro-rata basis.
In revolving fund the Cash Credit can continue
till the SHG exists, subject to annual renewal.
M A R G I N:
Subsidy may be treated as Margin Money.
I N T E R E ST :
As per RBI guidelines or Banks Head
office directions interest may be charged.
COLLATERAL SECURITY:
Collateral Security/ Third party Guarantee
require for individual loan above Rs. 50,000/-
Group loans above Rs.5.00 Lakhs., collateral
security needed.
R E P A Y M E N T :
a) As per Activity in 5,7,9 years.
b) Repayment amount not to be more than 50% of
incremental income (50% to be used for
Consmption purpose & 50% for repayment).

MISCELLENOUS :
For Group Insurance coverage maximum
age of Swarojgaris to be up to 60 years.
. Insurance coverage is done for 5 years
or till the loan is repaid, whichever is
earlier.
Family includes Husband, wife, dependent
parents, children, brothers ,Sisters.
ACHIEVEMENT AT NATIONAL LEVEL:
Up to March, 2009 :
34 lakhs SHGs had been formed.
Rs.120.89 Lakhs Swarojgaris have been
assisted.
Total outlay of Rs.27,183.03 Crores used for
SGSY.
ACHIEVEMENT OF RAJASTHAN STATE:
Total outlay Rs.75.47 Crore.
No. of families benefited : 50,064
Special projects for Rs.2.65 Crore used for
SGSY.
PRIME MINISTERs
EMPLOYMENT
GENERATION PROGRAMME
(PMEGP)
1. LAUNCHED : 1-4-2008 (A Credit linked subsidy
Scheme).
2. MAIN OBJECTIVE : To generate employment
opportunities in Rural & Urban areas by setting up only
new micro enterprises, for sustainable Employment to
artisans and unemployed youth.
3. ACTIVITY : Manufacturing, Service & Business.
4. APPLICABLE : This Scheme is applicable in both
Rural and Urban Areas (rural areas with population up
to 20,000 and area classified as villages in Revenue
record.).
ELIGIBILITY NORMS:
a) BORROWERS : Individuals, SHGs (of
BPL), Charitable Trusts, Institutions under
Societies Registration Act,
Production Cooperative Societies, Existing
unit and
Those who have borrowed under some
subsidy Scheme , not eligible.
b) A G E: Individual above 18 years.
c) INCOME CEILING: There is no income
ceiling.
d) MINIMUM QUALIFICATIONS: 8th Pass
only for manufacturing projects costing
above Rs.10 lac and service/business
projects above Rs. 5 lac.
e) FAMILY: Beneficiary & Spouse. Only one
person from family eligible.
f) TRAINING : 2-3 Weeks EDP essential
before release of loan. It is waived for those
who have already undergone such training.
g) IDENTIFICATION OF BENEFICIARY: By
District level Task Force headed by District
Collector and represented by KVIC/DIC/Banks.
IMPLEMENTING AGENCIES:
Administration by Ministry of MSE.
Implementation by KVIC at National
Level. At State level by KVIC-Board, DIC
and BANKS.
Scheme to be implemented through
PSBs, RRBs, SIDBI, and Coop. Banks
and approved Private Banks.
QUANTUM OF LOAN & COST OF PROJECT:
Project cost manufacturing sector :up to Rs.25
Lacs. Business & service sector : Rs. 10 Lacs.
Project cost include Capital expenditure and one
cycle of Working Capital. Projects without capital
expenditure, not eligible.
Projects costing more than Rs.5 lac but not
requiring WC to be cleared by Regional Offices of
the Bank.
Cost of land not part of Project Cost.
Amount of Loan :- Composite loans can be
sanctioned to the extent of 90% of project cost
including subsidy (95% in case of special
category borrowers that include SC/ST,
Women, OBC, Physically handicapped, Ex-
servicemen, Minority, North-East Region, Hill
and Boarder areas etc.).
Selection of borrower on the basis of score
card prepared by SBI.
TARGET GROUP:
a. Women 40%
b. SC/ST 50%
c. Disabled 3%
d. Others 7%
SUBSIDY:
i) General borrowers (urban) 15%
ii) General borrowers (rural) 25%
iii) For Special Category (urban) 25%
iv) For Special Category (rural) 35%
Subsidy to be kept as interest free FD. To
be credited to loan account at the end of
3rd year from date of 1st disbursement. If
loan becomes NPA, subsidy can be
utilized before 3 years.
Use of WC component should be such
that it touches 100% at one point of time,
within 3 years of lock in period of subsidy
and not less than 75% of the sanctioned
limit. If it is not touched, pro-rata subsidy
will be returned at the end of 3rd year.
MARGIN : 10% FOR GENERAL
CANDIDATES (of the project cost)
5% FOR SPECIAL CATEGORIES (of the
project cost)
INTERERST: As per guidelines of RBI or
directions of Head office of Bank
Concerned.
REPAYMENT : 3 TO 7 Years with
moratorium period as prescribed by Bank.
For Composite Loan, repayment to be
fixed for Term Loan Component only.
MISCELLANEOUS:
(a) Defaulters of Nationalized Bank or Financial
institution or Cooperative Bank not eligible.
(b) Village Industry means where fixed capital
investment per head of Artisan/Worker does not
exceed Rs.1 Lac.( in hilly areas Rs.1.50 Lac.).
(c) Review of proposals and recovery of loan on a
quarterly basis by Task Force (A Committee).