Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q20: Regarding the "Prime Minister’s Employment Generation Programme" (PMEGP) guidelines effective in FY 2026, which of the following statements is NOT correct?

A
The maximum project cost admissible for a Manufacturing unit is Rupees 50 Lakh.
B
The maximum project cost admissible for a Service or Business unit is Rupees 20 Lakh.
C
The Khadi and Village Industries Commission (KVIC) is the nodal agency for implementation at the national level.
D
General Category beneficiaries are required to contribute 25% of the project cost as their own contribution (margin money).
✅ Correct Answer: D
The Incorrect Statement is D. General Category beneficiaries are required to contribute only 10% of the project cost as their own contribution.
Beneficiaries from Special Categories (SC/ST/OBC/Women/Minorities) contribute 5%. The government subsidy (Margin Money) ranges from 15% to 35%. The maximum project cost limits are Rupees 50 Lakh for manufacturing and Rupees 20 Lakh for services.