The Madhya Pradesh Chief Minister Swarojgar Yojana is a government project aiming to promote self-employment and entrepreneurship among Madhya Pradesh’s youth. This initiative intends to promote small enterprises and strengthen the state’s economic development by providing financial aid and support. 

Who is eligible for this scheme?

• Applicants must be permanent residents of Madhya Pradesh.
• The applicant should be 18 years old.
• There are no educational requirements for obtaining the loan.

Is there any subsidy in this scheme?

• Yes, a 5% interest subsidy for the first five years is subject to a ceiling.

How much margin money will the government raise for this scheme?

• The State Government will grant 20% of the project cost as Margin Money, or a maximum of Rs. 10,000 on a one-time basis for project expenditures up to Rs. 50,000.

What is the interest rate on this scheme?

• For loans up to Rs. 10 lac: bank interest rate + 0.50% (guarantee charge); for loans above Rs. 10 lac and up to Rs. 25 lac: bank interest rate + 1.00% (guarantee fee).

Who is in charge of implementing this strategy in the state?

• Urban areas are served by the Department of Commerce, Industries, and Employment, while rural areas are served by the Panchayat and Rural Development Department.

What is the guarantee fee for this scheme, and how was it allocated?

• A guarantee fee is a fee paid to the government for acting as the entrepreneur’s guarantor before a bank. This system has two sorts of guarantee costs.
• For loans of up to 50,000/-, the State Government will reimburse 1% of the loan amount for the first year and 0.50% for the next four years, or until the account is closed, whichever occurs first. The Bank will bear the remaining 0.50% for four years or until the account is closed, whichever occurs first.
• For loans ranging from 50,000 to 25 lakhs, the State Government will reimburse 1% of the loan amount for the first year and 0.75 percent for the next four years, or until the account is closed, whichever occurs first. The Bank will bear the remaining 0.25% for four years or until the account is closed, whichever occurs first.

What papers are required for this loan?

• If you are eligible, you can obtain an application form from your nearest nationalized bank, regional rural bank, state cooperative bank, or other scheduled bank, or you can download the application form from the official website, fill it out, and submit it to the bank along with documents and a business project report.

How can I generate a project report for the Madhya Pradesh Mukhya Mantri Swarozgar Yojna?

You can use Finaxis to build the project report. You can either create the report yourself or have a professional do so for you. A well-written and convincing project report improves the chances of loan acceptance. Finaxis allows you to create a captivating project report in less than ten minutes. That is also in your language. All of India’s governmental and private sector banks recognize our reports.

Conclusion

The Madhya Pradesh Chief Minister’s Swarojgar Yojana is an important step in promoting entrepreneurship and self-employment in the state. The scheme aims to foster a thriving business ecosystem by offering financial help, training, and infrastructure support. This project not only reduces unemployment, but also contributes to Madhya Pradesh’s general economic growth.