Name: Jasvinder Singh, Vishal Vinayak, Yashmin Sofat
Country: India

Year: 2025
Volume: Volume-12, Issue-2 (July-December)
Page Number: 26-32
DOI: https://doi.org/10.5281/zenodo.16631344

ABSTRACT
The Prime Minister’s Employment Generation Programme (PMEGP) is a flagship initiative
by the Government of India aimed at generating self-employment opportunities through the
establishment of micro-enterprises in the non-farm sector. While the scheme has played a
significant role in promoting entrepreneurship, many beneficiaries continue to face critical
challenges that hinder the success and sustainability of their ventures. This study investigates
the challenges encountered by 200 PMEGP beneficiaries in the Ambala division of Haryana.
Primary data was collected through structured questionnaires and interviews with selected
entrepreneurs across various sectors. The study revealed that while the scheme has had a
positive impact on employment generation, a large number of beneficiaries faced difficulties
such as delays in fund disbursement, lack of awareness about scheme details, inadequate
training, limited market access, and insufficient post-sanction support. Only 47% of the units
remained fully operational after two years, indicating significant sustainability issues.
The findings underscore the need for stronger institutional support, improved training,
simplified procedures, and enhanced market linkage mechanisms. The study concludes with
practical suggestions to improve the effectiveness of PMEGP implementation and enhance
the long-term viability of micro-enterprises.
Keywords: PMEGP, Self-employment, Micro-enterprises, Rural entrepreneurship,
Government schemes, Beneficiary challenges, Financial assistance, Enterprise sustainability,
Employment generation, MSME development