Launched on April 8, 2015, by Prime Minister Narendra Modi, the Pradhan Mantri MUDRA Yojana (PMMY) has completed a decade of transformative support to India’s small and micro-entrepreneurs.
Objective: “Funding the Unfunded”
- To provide collateral-free loans up to ₹10 lakh (now enhanced) to non-corporate, non-farm income-generating activities, promoting financial inclusion and grassroots entrepreneurship.
10-Year Achievements (as of April 2025):
- ₹33.65 lakh crore disbursed
- 52.37 crore loans sanctioned
- Significant focus on women borrowers across all loan categories
Loan Categories:
| Category | Loan Range | Focus |
|---|---|---|
| Shishu | Up to ₹50,000 | Early-stage/start-ups |
| Kishor | ₹50,001 to ₹5 lakh | Growing businesses |
| Tarun | ₹5 lakh to ₹10 lakh | Established small businesses |
| 🔸New: Tarun Plus | ₹10 lakh to ₹20 lakh | For successful Tarun borrowers (from Oct 24, 2024) |
Women borrowers received:
- ₹8.49 lakh crore (Shishu)
- ₹4.90 lakh crore (Kishor)
- ₹0.85 lakh crore (Tarun)
Loan Distribution Channels:
- Scheduled Banks
- Non-Banking Financial Companies (NBFCs)
- Microfinance Institutions (MFIs)
- Other Recognized Financial Institutions
Usage of Loans:
- Manufacturing
- Trading
- Services
- Agriculture-allied activities like dairy, poultry, beekeeping, etc.
New Support Measures:
- Loan limit increased to ₹20 lakh (announced in Union Budget 2024-25, effective from Oct 24, 2024)
- Credit Guarantee Fund for Micro Units (CGFMU) to cover new loan limits, ensuring easier access to credit
(Source: PIB)
