Around 4.9 crore beneficiaries reported with 3.9 lakh crore loan sanctions under Mudra Yojana

According to official data released in January 2024 PM Mudra Yojana has marked significant achievements by sanctioning approximately 4.9 crore beneficiaries where sanctioned loan amounts stand at Rs 3.9 lakh crore with Rs 3.8 lakh crore disbursed establishing a substantial impact of the scheme on fostering micro-enterprise growth.

The pivotal scheme was launched on April 8, 2015, which aims to provide financial support to non-corporate, non-farm small/ micro enterprises. Three distinctive loans are categorized under this scheme of the Micro Units Development and Refinance Agency [MUDRA] as follows:

Shishu: Which covers loans up to Rs 50,000.

Kishore: It encompasses loans above Rs 50,000 and up to Rs 5 lakh.

Tarun: It targets loans above Rs 5 lakh and up to Rs 10 lakh.

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The loan segment is proposed to cater to the basic financial needs of micro units diversifying for startup enterprises. The scheme is extended to support a variety of legal entities including individuals, proprietary concerns, partnership firms, and private and public limited companies. Applicants are required to maintain a good credit track record while individual borrowers must possess the necessary skills, experience, or knowledge relevant to their proposed entrepreneurial activity.

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The scheme facilitates micro-credit/loans up to Rs 10 lakh to income-generating micro-enterprises engaged in the non-farm sector in manufacturing, trading, or service sector including activities allied to agriculture such as poultry, dairy, beekeeping, etc.

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