India is the most populous country in the world and with the number of people, the number of needs and wants rise as well. Even though the central and state governments are working on several measures to improve the lives of people, there are still some components that need the government’s attention and one of those is employment. The major problem that the youth of the nation is facing is limited employment opportunities. To tackle this, the state government of Tamil Nadu launched the Unemployed Youth Employment Generation Programme (UYEGP). The govt program is specially designed for the state’s youth so that they can lead financial worry-free lives.
Read the article to learn about the details of the Sarkari scheme ranging from its meaning and objectives to eligibility and application process.
Overview
| Name of the scheme | UYEGP |
|---|
| Full form | Unemployed Youth Employment Generation Programme |
| Introduced by | State government of Tamil Nadu |
| Objective | To provide affordable loans to the youth so that they can start their businesses |
| Target Group | Youths residing in the state |
| Duration of repayment | 5 years |
| Application mode | Online |
Read More: Prime Minister's Employment Generation Programme for New Entrepreneurs
What Is The Unemployed Youth Employment Generation Programme?
The Unemployed Youth Employment Generation Programme (UYEGP) was launched by the state government of Tamil Nadu under the Micro, Small, and Medium Enterprises (MSME) department, especially for the state’s youth. The Sarkari Yojana aims to encourage unemployed youth to start their businesses with the help of the loan provided under the govt program.
The state govt under the scheme provides a 25% subsidy of the total cost of the project. This makes it easier for the registered youth to start their small businesses without the worry of falling into the well of debt.
Features
The employment generation programme comprises various features aimed at making the lives of youth financially strong. Some of the key features it offers are mentioned below in brief:
-
The govt program provides an opportunity to avail affordable loans to youth.
-
The Sarkari Yojana provides a subsidy of 25% of the total project cost (maximum project cost worth Rs. 15 lakh) which makes repayment of the loan easier on the shoulders of the beneficiaries of the scheme.
-
The rate of interest on the loans given under UYEGP is determined according to the repo rate fixed by the Reserve Bank of India.
Benefits
UYEGP offers several benefits to the youth that allow them to build their personal and professional lives. Some of its key benefits are:
-
The govt program doesn’t only encourage youth to work on their innovative ideas but also provides them with the needed financial help.
-
Under the scheme, a 7-day training under the Entrepreneur Development Programme is also given to the youth for skill development.
-
UYEGP offers loans through public and private sector banks and Tamil Nadu Industrial Cooperative Banks.
-
Interested applicants aren’t required to deposit any collateral if the loan amount is up to Rs. 10 lakh.
Major Details About UYEGP
The govt program covers the youth residing in both, rural and urban areas of the state. It covers all business sectors ranging from the manufacturing sector to the service sector except activities related to direct agriculture like crop cultivation. Some of the other major details that one should know about are:
- The cost of the maximum project is based on the type of business sector. All are mentioned below:
- Manufacturing sector: up to Rs. 10 lakh
- Service sector: up to Rs. 3 lakh
- Business sector: up to Rs. 1 lakh
-
If the applicant is from the General category, they are required to contribute 10% of the total project cost. However, if the applicant is from the reserved categories like SC, ST, OBC, minorities, women, ex-servicemen, differently-abled individuals, or transgender then they are required to contribute 5% of the total project cost.
-
The lock-in period for the govt subsidy is set at 3 years.
Financial Assistance Under UYEGP
The financial assistance provided under the employment generation programme is listed below in a tabular form:
| Category of the applicant | Contribution to be made (in %) | Bank loan | Subsidy provided by the state govt |
|---|
| General | 10% | 90% | 25% |
| Reserved category | 5% | 95% | 25% |
Eligibility Criteria Of Unemployed Youth Employment Generation Programme
Interested individuals first need to ensure whether they fit into the eligibility criteria of the employment generation programme or not. The eligibility criteria are as follows:
- Individuals must be from the state of Tamil Nadu or at least must be residing in the state for a minimum of 3 years.
- If the applicant is from the General category then their age should be between 18-35 years. However, if the applicant is from reserved categories (SC, ST, OBC, minorities, women, ex-servicemen, differently-abled individuals, or transgender) then their age should be between 18-45 years.
- Applicant’s annual family income should not be more than Rs. 5 lakh.
Application Process Of Unemployed Youth Employment Generation Programme
Interested and eligible applicants can apply for the Sarkari Yojana through online methods at their convenience. The procedure is laid down below:
Step 1: Please visit the official website of the MSME department of the state.
Step 2: Please registrater using your Aadhaar number and mobile number.
Step 3: Click on ‘Apply Online’ and then ‘New Application’.
Step 4: Fill in your basic details like name, date of birth, address, etc. and complete registration.
Step 5: Fill in the additional information if required and upload the required support documents.
Step 6: Recheck your application and click on ‘submit’.
Post Application
After the successful submission of the application form, the application will be checked by the District Industries Centre (DIC) and if the verification finds no problem, the applicant is then called up for an interview. Post clearing the interview, the loan is approved, and the applicant is invited to complete the 7-day training under EDP. After all this, the applicant needs to visit the bank, submit the proof of documents, and access their loan.
Required Documents Of Unemployed Youth Employment Generation Programme
Applicants are required to submit some supporting documents while applying for the state govt scheme. The list of the documents is as follows:
An affidavit typed on ₹20/- Non-Judicial Stamp Paper, certified and signed by a Notary Public, to be submitted along with a copy of the Rental/Lease Agreement to the bank when sanctioning the loan
How To Track Application Status?
Applicants can track the status of their applications by following a very simple procedure. The steps to do the same are:
Step 1: Please visit the official website of the MSME department of the state.
Step 2: Click on the tracking option and view the status of your application.
Conclusion
The Unemployed Youth Employment Generation Programme (UYEGP) by the state govt of Tamil Nadu is one of the most exceptional govt programs as it not only puts forward a career option for the youth but also helps them achieve the same by providing financial assistance in the form of loans.
Stay updated with Jaagruk Bharat to get the latest information on government schemes and more, and reach out to us via our community page if you have any questions or want to share your thoughts.
