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PM Modi to launch PM Vishwakarma scheme, linking artisans to MSME value chain

UncategorizedPM Modi to launch PM Vishwakarma scheme, linking artisans to MSME value chain

Artisans craftsmen coming from communities like weavers, goldsmiths, blacksmiths, laundry workers and barbers largely belonging to the OBC community will need to undergo a skill verification phase followed by a comprehensive five-day training program.

Prime minister Narendra Modi to launch the PM Vishwakarma scheme to support artisans and workers on 17 September. The scheme will be launched at the India International Convention & Expo Centre, Dwarka in the national capital, Delhi. 

Under this program, beneficiaries will receive ₹15,000 each as toolkit incentives via e-vouchers or eRUPI. Additionally, they will have access to collateral-free enterprise development loans at a reduced interest rate. As an added benefit, artisans will receive ₹1 for each transaction, with a maximum limit of 100 transactions per month, as outlined in a presentation prepared by the Ministry of Micro, Small and Medium Enterprises.

Artisans craftsmen coming from communities like weavers, goldsmiths, blacksmiths, laundry workers and barbers largely belonging to the OBC community will need to undergo a skill verification phase followed by a comprehensive five-day training program. Subsequently, they will participate in an advanced training session lasting 15 days or more, during which they will receive a stipend of ₹500 per day, as indicated in the presentation.

The scheme also allocates a fund of ₹250 crore for activities such as quality certification, branding, advertising, publicity, and other marketing endeavors. This scheme received approval from the Cabinet Committee on Economic Affairs (CCEA) on August 16, with a total allocation of ₹13,000 crore for a five-year period spanning from FY24 to FY28. It outlines that artisans and craftspeople will receive recognition in the form of a PM Vishwakarma certificate and ID card, along with access to credit support amounting to ₹1 lakh in the first tranche and ₹2 lakh in the second tranche, all at a concessional interest rate of 5%. 

It’s important to note that the concessional interest rate will be subject to an interest subvention cap of up to 8%, and a Credit Oversight Committee may adjust the subvention cap in accordance with prevailing interest rates, as stated in the presentation. To be eligible for the scheme, applicants must meet certain criteria, including being at least 18 years old. They should not have previously accessed loans through comparable credit-based self-employment initiatives like the Prime Minister Employment Generation Programme (PMEGP), Prime Minister Street Vendor’s AtmaNirbhar Nidhi, Mudra scheme, or any other similar central and state government schemes within the past five years.

Notably, Prime Minister Narendra Modi had announced to launch this scheme on this year’s Independence and said that the government would roll out the scheme within a month.

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