Page 79 - DECO303_INDIAN_ECONOMY_ENGLISH

Indian Economy

Notes 1. No upper ceiling on project cost.
2. The subsidy ceiling for Self Help Group is ` 15,000 per beneficiary subject to a maximum
of ` 1.25 lakh per SHG.

3. The exemption from collateral is restricted to ` 5.00 lakh per member of SHG to projects
Under Industry sector and ` 2.00 lakh per member of SHG under service and business
Sectors.
4. Essential margin money contribution (i.e. Subsidy and margin to be equal to 20% of the
project cost) should be brought in by the SHG collectively.

5% to 16.25% of the project cost to be carried as own contribution by the beneficiary.
15% subsidy on the project cost with a ceiling of ` 12,500 per beneficiary.
All projects under Industries, Services, Business and Agriculture are qualified except
direct agricultural activities like raising crop, purchase of manure etc.
Beneficiaries are to undergo compulsory training organized by DIC.
Beneficiary should have been the resident of Puducherry for the previous three
years.
Reservation for SC/ST and OBC at 22.50% and 27% respectively.
No collateral security is required under Industry Sector with project cost up to ` 5.00
lakh or partnership projects under Industries sector the exemption limit for abstention
of collateral security will be ` 5.00 lakhs per borrower account. For units in Service
and business sector no collateral for projects up to ` 2.00 lakh. Exemption from
collateral in case of partnership projects will also be limited to an amount of ` 2.00
lakh per person participating in project.
The exemption from collateral in respect of partnership projects in Industry sector
will be ` 10 lakh per borrowal account in tiny sector.

Self Assessment

Fill in the blanks:

5. The …………………… has been intended to offer employment to educated unemployed
youth by setting up of micro enterprises by the educated unemployed poor.
6. …………………… is an improved scheme, replacing IRDP and other sub-schemes.

Notes In Northern India, Jammu and Kashmir has the maximum unemployment rate
followed by Himachal Pradesh, Delhi, Chandigarh, Punjab and Haryana. Unemployment
rate in rural area is 4.4% whereas in urban area it is 5.7%.

Did u know? The report for 2012-13 states that Sikkim has the maximum number of
unemployed people where as Chhattisgarh has the minimum number of unemployed
people in the country. Overall unemployment rate of the country is 4.7%.

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