The Micro, Small and Medium Enterprises Department, Government of Tamil Nadu introduced the scheme "Unemployed Youth Employment Generation Programme (UYEGP)" which aims to mitigate unemployment problems of socially and economically weaker sections of society.
Unemployed Youth Employment Generation Programme - Introduction
The Micro, Small and Medium Enterprises Department, Government of Tamil Nadu introduced the scheme Unemployed Youth Employment Generation Programme (UYEGP) which aims to mitigate the unemployment problems of socially and economically weaker sections of society, particularly among the educated and unemployed youth of the state. The youth of the state will become self-employed by setting up manufacturing, service or business enterprises by availing loans up to the maximum of ₹15 Lakhs, ₹5 Lakhs and ₹5 Lakhs respectively, with subsidy assistance from the State Government up to 25% of the project cost (maximum to a limit of ₹2.50 Lakhs).
The objective of the programme is to assist marginalized youths to become entrepreneurs.
Benefits
- Subsidy assistance will be provided by the State Government up to 25% of the project cost, with a maximum limit of ₹2.50 lakhs, for setting up manufacturing, service, or business enterprises.
Eligibility
- The applicant should be a permanent resident of Tamil Nadu.
- The applicant should be a minimum of 18 years of age; and
- for the General category: maximum of 35 years of age.
- for Special category (SC/ ST/ MBC/ BC/ Minorities/ Ex-Servicemen/ Differently abled/ Transgender): maximum of 45 years of age.
- The applicant should have passed the 8th standard.
- The family income of the applicant should not exceed ₹5 lakhs per annum.
- The applicant's contribution should be 10% of the project cost for the General category; or 5% for the Special category.
- Entrepreneurship Development Programme (EDP) training is mandatory.
- Project cost should not be more than ₹15 lakhs for manufacturing, and ₹5 lakhs for Trading / Service projects.
Application Process
- Step 01: The applicant willing to avail a loan under the UYEGP scheme should fill out the online application through the Official Website of the Micro, Small and Medium Enterprises Department, Government of Tamil Nadu.
- Step 02: On the home page, click on “Apply Online” and then “New Application”.
- Step 03: Click on ‘Register’ and fill in the details like Name, Date of Birth, Email ID, Aadhaar Number & Mobile Number.
- Step 04: After successful registration, click on ‘Login’ and fill in all the mandatory details.
- Step 05: Upload all the necessary documents and submit the application form.
- Step 01: Verification of eligibility of the online submitted application by the District Industries Centre (DIC).
- Step 02: The applicant will receive a call letter to attend the interview.
- Step 03: Recommendation of the loan application to the bank and sanction of the loan by the bank.
- Step 04: Receiving a call letter to attend Entrepreneurship Development Programme (EDP) training and attending the training.
- Step 05: After receiving the EDP completion certificate, the applicant needs to submit it along with other documents required by the bank.
- Step 06: Loan disbursement by banks and filing of subsidy claim by the bank with the DIC.
- Step 07: The subsidy amount will be disbursed by the DIC and deposited under TDR for 3 years. After completion of 3 years, the subsidy will be adjusted against the loan amount.
Procedure for Online Filling of Application Dos and Don’ts