What changed
RBI updated the previous master circular (July 2006) by consolidating all instructions issued up to June 30, 2007. The circular includes income ceiling of Rs. 1,00,000 per annum for beneficiary and spouse, and the same limit for parents separately. Age relaxations for North-East states, SC/ST, ex-servicemen, disabled, and women are retained.
What it means for you
Banks must apply the updated PMRY guidelines uniformly across all branches. The income and age criteria directly affect loan eligibility for self-employment ventures. Lenders need to ensure SC/ST/OBC reservation targets (22.5% and 27%) are met while processing applications.
What you must do
- Update internal PMRY processing manuals with the consolidated guidelines from this master circular.
- Train branch staff on revised income ceiling (Rs. 1 lakh for beneficiary and spouse, separate for parents) and age relaxations.
- Monitor SC/ST/OBC disbursement ratios to meet the prescribed reservation percentages.
- Acknowledge receipt of this circular to RBI as instructed.
Who it affects
All Indian scheduled commercial banks (excluding RRBs), Priority sector lending departments, Branch managers handling PMRY loan applications
What is the income ceiling for PMRY eligibility?
Family income (beneficiary and spouse) must be up to Rs. 1,00,000 per annum. Parents' income is assessed separately with the same limit.
What are the age limits under PMRY?
General: 18-35 years. For North-East states, Himachal, Uttarakhand, J&K: 18-40 years. For SC/ST, ex-servicemen, disabled, women: 18-45 years.
What is the minimum educational qualification for PMRY?
Minimum VIII standard passed. Preference is given to those with at least six months of training in a government-recognized institution.