✓Minimal Documentation ✓Collateral Free Loans ✓Instant Loan Disbursal | Apply for Personal Loan Now! Apply Now

What is Pradhan Mantri Rozgar Yojana Scheme

Pradhan Mantri Rozgar Yojana or PMRY is a government scheme launched in 1993 to create employment opportunities in the country. The PMRY scheme offers capital assistance to those eligible at a reasonable interest rate for their business venture. This financial aid can be invested in trading, service or manufacturing businesses.


Prime Minister Rozgar Yojana benefits recent graduates who require funds to set up their businesses. You can enjoy the benefits of the PMRY scheme by applying online or offline depending on your comfort and convenience. 

Features of the PMRY Scheme

Like any other government lending scheme, the loan provided to aspiring entrepreneurs under the Pradhan Mantri Rozgar Yojana has its distinct features. Some of the features and benefits of the PMRY Yojna are as under

  • The loans secured under PM Rozgar Yojna can cover costs of up to ₹5 Lakhs.

  • The repayment tenure for loans granted under the PMRY loan scheme ranges from 3 to 7 years.

  • Collateral-free loans of up to ₹1 Lakhs are available to PMRY beneficiaries.

  • The scheme covers all economically viable business options, including allied agricultural activities. However, it excludes direct agrarian operations.

  • The Rozgar Yojna loan provides a subsidy of 15% of the project cost up to a maximum of ₹15,000 for every individual.

Read More

Eligibility Criteria for Pradhan Mantri Rozgar Yojana (PMRY Scheme)

The following table illustrates the eligibility criteria one needs to satisfy to avail of a loan under the PMRY scheme:




  • The age of the (general category) beneficiary must be between 18 and 35 years.

  • For beneficiaries belonging to the SC/ST categories, the upper age limit is 45 years.

  • For beneficiaries residing in the seven northeastern states, the age limit is 40 years.

Employment Status

Must be unemployed

Minimum Educational Qualification

Must have studied till Class 8th


Should be a permanent Indian resident

Family Income

The family income of the beneficiary, including that of the spouses and parents, should not exceed ₹40,000 per month

Credit Behaviour

Should not be a defaulter at any nationalised financial institution/bank

Subsidy and Margin Money

The lending institutions will ask the borrower to cover anywhere between 5-12.5% of the project cost to make the total subsidy and margin money equal to 20% of the project cost.

The interest subsidy will be 15% of the project cost and capped at ₹15,000 per month.

Eligible Sectors

As long as the business plan is economically viable, all the sectors, except for those directly connected to agriculture and other sectors where income is now earned from farming activities, are eligible.

Documents Required for Pradhan Mantri Rozgar Yojana (PMRY)

You need to provide the following documents to avail of a loan under the Prime Minister Rozgar Yojana:

  • Driving licence

  • Proof of Date of Birth (SSC certificate or transfer certificate)

  • Proof of residency indicating that you have been a permanent resident for three years; for example, a ration card

  • MRO-issued income certificate

  • MRO-issued caste certificate (if needed)

  • Certificate of EDP training

  • Proposed Project Profile copy

  • Experience/qualification/technical certificate

Read More

Implementing Agency for Prime Minister Rozgar Yojana (PMRY)

There are two implementing agencies for the Pradhan Mantri Rozgar Yojana loan: the Directorate of Business and the District Industries Centre. The implementing agencies have a designated task force that incorporates various activities under the Prime Minister Rozgar Yojana loan -

  • Encouraging the participation of the youth

  • Helps in the identification of the business plan, business type, etc.

  • Assists in the selection of the subsidiary activities

  • Guidance in loan options

  • Procuring approvals and permissions from authorities as per industry standards


To render these services in a hassle-free manner under the PMRY scheme, the task force performs-

  • Candidate selection

  • Designs the economic structure for various activities

  • Assesses infrastructure requirements

  • Follow-up sessions with the eligible candidates

  • Coordinates with the banks and other lending institutions

Read More

How to Apply for PMRY Loan

You need to follow the below-mentioned steps to apply for a PMRY loan online:

  • Step 1

    Visit the official online portal of the Pradhan Mantri Rozgar Yojana scheme: https://pmrpy.gov.in/.

  • Step 2

    Fill in the required details on the application form downloaded through the portal.

  • Step 3

    Submit the form at your local District Industries Centre (DIC) or the nearest PMRY-authorised bank.

  • Step 4

    After the application and the documents are reviewed, you will be called for an interview.

  • Step 5

    Post the interview, the officials will shortlist those candidates whom they deem eligible for a PMRY loan.

Those eligible for the PM Rojgar loan will have to undergo training which will last for about 15-20 days. The selected candidate may have to pay a certain fee for the training. The training empowers the to-be beneficiaries with knowledge concerning the prevalent socio-economic scenario and teaches them the art of identifying business opportunities.


Once the training is complete, the beneficiaries are given a certificate, known as EDP or Entrepreneurship Development Programme Training Certificate. This certificate must be submitted along with the rest of the documents to an authorised bank for the disbursal of the PMRY loan.

Modification of Pradhan Mantri Rozgar Yojana

  • The upper age limit for availing a loan under Pradhan Mantri Rozgar Yojana has been increased to 45 years (10 years more than that for the general category) for beneficiaries belonging to the SC/ST categories.

  • For northeastern states, the minimum age is 18 years.

  • The upper age limit has been increased to 40 years for the seven northeastern states of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, and Sikkim.

  • The education qualification requirement has been relaxed from class 10th to class 8th.

  • The upper limit for the cost of the project has been increased from ₹1 Lakh to ₹2 Lakhs.

  • PMRY loans are now also granted to businesses involved in allied agricultural activities; however, direct agricultural operations like manure and farming are excluded.

  • For groups, the PMRY scheme offers up to ₹5 Lakhs.

  • The Rozgar Yojna loan provides a subsidy of 15% of the project cost up to a maximum of ₹7,500 for every individual.

  • The repayment tenure for the PMRY loan scheme is determined by taking the financial condition of the applicant and their family income.


The Pradhan Mantri Rojgar Yojana aims to provide entrepreneurship opportunities to the country's unemployed youth. However, if you are someone who does not fit the criteria mentioned above, you can always avail a business loan on Bajaj Markets at affordable interest rates starting from just 12% p.a. The loan application process at Bajaj Markets is simple and hassle-free and the loan amount is usually disbursed within 24 hours of approval.

Read More

FAQs on PMRY Scheme

No collateral is required to avail of a loan of up to ₹1 Lakh under PMRY.

A subsidy of 15% of the cost of the project (subject to a maximum of ₹15,000) is offered under the Pradhan Mantri Rozgar Yojana.

The loan granted under the PMRY is to be repaid within 3 to 7 years after the initial moratorium period.

A training of 15 to 20 days is provided to PMRY borrowers to help them get started with their businesses.

You need to have been residing at your current address for at least three years to be eligible for a loan under the PMRY.

Under the PMRY loan scheme, there is a training period of 10 days in the business and services sector and 15 days in the industry sector.

The applicant applying for the Pradhan Mantri Rozgar Yojana loan should have a minimum qualification of the 8th standard.

Loan Offer
Download App
Credit Score