Published Dec 19, 2025 4 Min Read

What is Pradhan Mantri Grameen Sadak Yojana (PMGSY)?

The Pradhan Mantri Grameen Sadak Yojana (PMGSY) was introduced with the primary goal of connecting India’s rural areas to urban hubs through well-constructed, all-weather roads. This flagship scheme was designed to address the lack of proper road infrastructure in villages, which often hindered socio-economic development.

The scheme is funded by the central and state governments, with a focus on ensuring that villages with a population of 500 or more (250 or more in hilly, tribal, and desert areas) are connected to the nearest urban centres. Over the years, PMGSY has significantly contributed to enhancing rural mobility, reducing travel time, and improving access to essential services.

By fostering better connectivity, PMGSY has also paved the way for rural economic growth, enabling farmers to transport their produce to markets and facilitating the movement of goods and services.

Objectives of PM Gram Sadak Yojana

The Pradhan Mantri Gram Sadak Yojana has several key objectives, including:

  • Rural Connectivity: Provide all-weather road connectivity to unconnected habitations in rural areas.
  • Socio-Economic Growth: Enhance access to education, healthcare, and employment opportunities in villages.
  • Infrastructure Development: Strengthen rural road infrastructure to support economic activities and improve quality of life.
  • Reduction in Rural-Urban Divide: Bridge the gap between rural and urban areas by improving mobility and accessibility.
  • Sustainable Development: Promote the use of environmentally friendly and cost-effective construction techniques.
  • Focus on Marginalised Communities: Prioritise connectivity for habitations in tribal, hilly, and backward areas.

PMGSY phases and key features

The PMGSY scheme has been implemented in multiple phases, each with its own set of goals and features. Below is an overview of the major phases:

  • PMGSY Phase I (2000):
    Focused on providing connectivity to unconnected habitations with a population of 500 or more (250 or more in hilly and tribal areas). This phase laid the foundation for rural road development across the country.
  • PMGSY Phase II (2013):
    Aimed at consolidating the existing rural road network by upgrading roads built under Phase I. This phase also introduced measures to ensure the sustainability of road assets.
  • PMGSY Phase III (2019):
    Targeted the development of rural roads to improve connectivity to agricultural markets, schools, and hospitals. It emphasised the use of green technologies and locally available materials to promote sustainability.

Key Features of PMGSY

  • Adoption of innovative construction techniques like cold mix technology and geo-synthetics.
  • Integration of disaster-resilient designs in road construction.
  • Use of digital monitoring systems for transparency and accountability.
  • Emphasis on road safety measures, including signage and pedestrian pathways.

Village eligibility for PM Sadak Yojana

The eligibility criteria for villages under PMGSY are as follows:

CriteriaDetails
Population ThresholdVillages with a population of 500 or more (250 or more in hilly/tribal areas).
Geographical LocationPriority given to hilly, tribal, and desert areas.
Unconnected HabitationsVillages without existing all-weather road connectivity.
Proximity to Urban CentresVillages must be within a defined radius of a market, school, or hospital.

How to apply for PMGSY road projects

Villages or stakeholders seeking to benefit from PMGSY can follow these steps to apply for road projects:

  1. Identify Eligibility: Ensure that your village meets the eligibility criteria under PMGSY.
  2. Submit a Proposal: Approach the local Panchayat or District Rural Development Agency (DRDA) with a formal request.
  3. Prepare a Detailed Project Report (DPR): Collaborate with local authorities to create a comprehensive DPR outlining the road requirements.
  4. Approval Process: The DPR is reviewed by state and central authorities for approval.
  5. Implementation: Once approved, the project is assigned to contractors for execution.
  6. Monitoring: Regular monitoring is conducted to ensure timely completion and quality standards.

Pro Tip:

Villages can enhance their chances of approval by highlighting the socio-economic benefits of the proposed road project, such as improved access to schools, markets, and healthcare facilities.

Funding and budget under PMGSY

The funding for PMGSY is shared between the central and state governments. Below is a breakdown of the financial structure:

Funding SourcePercentage Contribution
Central Government60% (90% for hilly/tribal states)
State Government40% (10% for hilly/tribal states)
World Bank AssistanceAdditional funding for specific projects

Roads built and progress of Pradhan Mantri Gram Sadak Yojana

Since its inception, PMGSY has achieved remarkable milestones:

  • Over 6.5 lakh kilometres of rural roads constructed.
  • Connectivity provided to more than 1.78 lakh habitations.
  • Significant reduction in travel time for rural residents.
  • Enhanced access to education, healthcare, and markets.

Real-World Impact:

For instance, in Bihar, PMGSY roads have enabled farmers to transport their produce to markets more efficiently, leading to increased incomes and reduced wastage. Similarly, in Himachal Pradesh, better road connectivity has boosted tourism in remote villages.

Know more

How to complain?

https://www.bajajfinserv.in/mahila-e-haat-scheme                        
 

Bajaj Finserv Loans for PMGSY Contractors

Bajaj Finserv offers tailored loans to contractors involved in PMGSY projects, enabling them to meet their financial requirements.

Key Benefits:

  • Flexible Loan Amounts: Get funding up to Rs. 50 lakh or more based on eligibility.
  • Quick Disbursal: Funds disbursed within 24 hours of approval.
  • Competitive Interest Rates: Affordable EMIs to reduce financial burden.
  • Minimal Documentation: Hassle-free application process with minimal paperwork.

How to Apply:

  1. Visit the Bajaj Finserv website.
  2. Navigate to the ‘Business Loans’ section.
  3. Fill in your details and upload the required documents.
  4. Submit the application and await approval.

Success stories from PM Gram Sadak Yojana

The PMGSY scheme has transformed countless lives across India. Here are some inspiring stories:

  • Village Transformation in Odisha: A remote village in Odisha, once inaccessible during monsoons, now thrives with year-round connectivity, enabling children to attend school regularly and farmers to access markets.
  • Empowerment in Rajasthan: Women in a desert village in Rajasthan now have easier access to healthcare facilities, reducing maternal and infant mortality rates.

PMGSY vs other rural road schemes

FeaturePMGSYOther Schemes
Focus AreaAll-weather rural roadsGeneral infrastructure projects
Target BeneficiariesUnconnected habitationsBroader rural population
Funding StructureCentral and state governmentsVaries by scheme

Frequently Asked Questions

What is the minimum population required for PMGSY village connectivity?

Villages must have a population of 500 or more (250 or more in hilly/tribal areas).

Can Bajaj Finserv waive late fees for overdue payments?

Bajaj Finserv may waive late fees under specific circumstances. Contact customer care for details.

What happens if I ignore overdue payment notices?

Ignoring overdue payments may lead to penalties, a negative impact on your credit score, and legal action.

Can I prepay an Auto loan to avoid overdue charges?

Yes, Bajaj Finserv allows prepayment of auto loans. Check the terms for applicable charges.

How do I check my overdue payment status online?

Log in to the Bajaj Finserv portal using your registered mobile number and navigate to the ‘Loan Details’ section.

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