OBJECTIVES :
- To generate employment in rural area.
- To develop entrepreneurial skills among the rural unemployed youth.
- To achieve the goal of rural industrialization.
- To facilitate participation of Financial Institutions for higher credit to rural industries.
ELIGIBILITY
- Individual entrepreneurs above 18 years of age.
- Self-Help Groups
- Institutions
- Co-operative Societies
- Trusts
- Public Limited Companies owned by State/Central Government
ELIGIBLE PROJECTS :
- Any village industry (except those mentioned in the negative list by KVIC) located in the rural areas, in Manufacture as also Service Sector, and in which, the fixed capital investment per head of a full time artisan or worker does not exceed Rs. 50,000/-
- Sponsoring of the Project is not mandatory.
- KVIC would impart training to the beneficiary.
Ceiling limit per Project:
- Rs. 25/- Lakhs (exclusive of cost of land)
MARGIN :
- 5% of the Project cost in respect of beneficiaries belonging to SC/ST/OBC/women/PH/Ex-Servicemen/Minority and those located in Hill, Border & Tribal area/North East Region/Sikkim/Andaman & Nicobar Islands & Lakshadweep.
- 10% in case of other beneficiaries.
MARGIN MONEY :
- For projects costing upto Rs. 10/- Lakhs - 25% of the Project cost.
- For Projects costing above Rs. 10/- lacs and upto Rs. 25/- Lakhs – 25% of Rs. 10/- Lakhs + 10% of the remaining cost of the Project.
- In case of SC/ST/OBC/women/PH/Ex-Servicemen/Minority and those located in Hill, Border & Tribal area/North East Region/Sikkim/Andaman & Nicobar Islands & Lakshadweep, margin money will be 30% of the Project cost upto Rs. 10/- lacs plus 10% of the remaining cost of the Project.
Margin Money is calculated on the actual bank loan availed + borrower’s own contribution.
To know the current interest rates Click here.
