An MoU was signed between Khadi & Village Industies Commission (KVIC),under the Ministry of MSME and Monitoring Cell For Rural Self Employment Training Institute’s, (RSETIS) under the Ministry Of Rural Development in the presence of Shri Kalraj Mishra,Union Minister of Micro,Small and Medium Enterprises here today.
The MoU was signed by Shri B. H. Anil Kumar, CEO & Commissioner for Khadi and Village Industries (KVIC) and Shri K. N. Janardhana, Chief Project Co-ordinator, Monitoring Cell for RSETIs. Present on the occasion were Shri Madhav Lal, Secretary, Ministry of MSME, Dr. Veerendra Heggade, Co-Chairman, National Advisory Council for RSETIs, officials of Ministry of MSME and KVIC.
The Ministry of MSME through KVIC is implementing the Prime Minister’s Employment Generation Programme (PMEGP) for generating employment opportunities through setting up of micro enterprises in rural and urban areas of the Country.
Around 2.9 lakhs micro enterprises have been set up so far providing employment opportunities to 25.93 lakh persons. The scheme has received encouraging response from all the stake holders namely unemployed youth, Banks and implementing agencies i.e. KVIC, KVIB and DIC. It has been observed that applications from unemployed youth received are far in excess of the target every year which reflects the popularity of the scheme.
During PMEGP review meetings held by the Ministry of MSME, KVIC it has been observed that many of the applicants under PMEGP are not possessing business skills &skills related to their projects. This also increases the rate of rejection of Bank loan applications and affects the viability of the PMEGP project.
As a remedial measure, KVIC with the help of Monitoring Cell for RSETIs which monitors the Bankers Training Institute viz. Rural Self Employment Training Institutes available in all the districts of the Country to partner with KVIC for conduct of Entrepreneurship Development Programmes. There are 581 RSETIs/RUDSETIs in the Country and they provide skill development training, in more than 250 skills. RSETIs also provides handholding to the trainees for a period of 2 years which includes training, project formulation and handholding beyond bank sanction till setting up of the units, as well as monitoring for a period of 2 years after the unit is setup.
Convergence in the area of imparting Entrepreneurship Development Programme (EDP) to PMEGP beneficiaries and linking skill development trainees to PMEGP was explored.
Mou signed by KVIC with Monitoring Cell for RSETIs :
• RSETIs& RUDSETIs will carry out EDP training of PMEGP beneficiaries.
• Trainees having undergone skill development programme at RSETIs& RUDSETIs will be provided a higher rating in District Level Task Force Committee (DLTFC) of PMEGP for their selection.
• Monitoring Cell for RSETIs& RUDSETIs will ensure hand holding for trainees, project formulation and guidance etc. upto a period of two years including arranging for bank loan sanction.
• Monitoring Cell for RSETIs& RUDSETIs will prepare district-wise model project reports for benefit of beneficiaries.
• Monitoring Cell for RSETI’s will also utilize infrastructure of KVIC Departmental Training Centres for their skill development courses as per requirement on payment of charges/expenditure which will be worked out mutually.
• Monitoring Cell for RSETIs will organize workshop jointly with KVIC at district level for officials of Banks to sensitize them on PMEGP alongwith DICs and KVIBs.
• MoU will be for initial period of three years, however performance under the MoU will be reviewed after 2 years.
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