Digital India Power to Empower

Gram Parivahan Yojana

Pradhan Mantri Gram Parivahan Yojana

Pradhan Mantri Gram Parivahan Yojana was launched by the central government. Under the PMGPY scheme, the government delivers interest-free loans to women’s self-help groups to buy commercial passenger vehicles. The scheme is launched on the lines of the ongoing rural scheme “Pradhan Mantri Gram Sadak Yojana”.

The scheme is launched to provide interest-free loans on commercial vehicles in the areas where the roads have already been constructed, under the PM Gram Sadak Yojana.

Objectives of Pradhan Mantri Gram Parivahan Yojana (PMGPY)

  • To improve the public transport facility and generate employment options in rural areas.
  • To bridge the gap between villages and cities where the roads have been constructed. But, there is no or very little public transport.
  • Initially, under the scheme, the government provided interest-free loans for at least 1,500 commercial vehicles in 250 blocks across the country.
  • The maximum seating capacity of the commercial vehicle would be 10 people. The scheme may be later expanded to provide loans for 80000 commercial passenger vehicles across the country.
  • A loan of a maximum of ₹6 lakhs would be provided under the PMGPY scheme and the loan tenure would be about 6 months.
  • The loan is provided at interest, the subsidized interest rate for a 10-12 seater commercial passenger vehicle to run on a stretch of 20-22 kilometres which connects at least 10-14 small villages.
  • To boost public transport facilities in rural areas and generate employment options, especially among women.