Mudra Loans: PM Narendra Modi Celebrates 33 Lakh Crore Milestone - How To Avail Benefit

On the 10th anniversary of Pradhan Mantri Mudra Yojana (PMMY), Prime Minister Narendra Modi stated that more than ₹33 lakh crore of collateral-free loans have been sanctioned under the scheme since it was launched in 2015. 

The scheme, which has been working towards empowering small entrepreneurs, continues to change lives by offering access to formal credit.

Empowering Youth & Women Entrepreneurs

During a special interaction with some of the beneficiaries at his home in Delhi, PM Modi stated that Mudra Yojana has provided opportunities to millions of people to exhibit their entrepreneurial skills

"Every Mudra loan carries with it dignity, self-respect and opportunity. In addition to financial inclusion, this scheme has also ensured social inclusion and economic freedom,” he said.

He further added that the scheme has also promoted self-employment and has motivated youth to become job creators. The PM also stated that more than 70% of the beneficiaries are female, and most of the loans have been distributed to SC, ST, and OBC groups.

“It is particularly heartening that half of the Mudra beneficiaries belong to SC, ST and OBC communities, and over 70 per cent of the beneficiaries are women. Women were among the top applicants of Mudra loans, took the highest number of loans, and repaid them the fastest", he added further.

Mudra Loan Categories 

Mudra Loan was released on 8th April 2015. The scheme provides up to Rs 20 lakh without collateral. It is provided via banks, NBFCs, and microfinance institutions in four categories:

Shishu with up to Rs 50,000 loan amount

Kishore with Rs 50,000–Rs 5 lakh amount

Tarun with Rs 5 lakh–Rs 10 lakh amount

TarunPlus with Rs 10 lakh–Rs 20 lakh amount

The disbursement of the loan, which was Rs 13 lakh crore in 2015-16, has now increased to Rs 49 lakh crore in 2024-25, according to official MUDRA data.
Future Steps for Growth

Mudra Loan: How To Avail Benefit?

For benefits under the Pradhan Mantri Mudra Yojana (PMMY), applicants can obtain collateral-free business loans of up to Rs 20 lakh from banks, NBFCs, or microfinance institutions. The loan is available under four categories—Shishu, Kishore, Tarun and Tarun Plus depending on the level of business growth.

Candidates must provide fundamental documents such as Aadhaar, PAN, business plan, and bank statements. Loans can be applied for in person at a bank or online through www.udyamimitra.in. No guarantor or collateral is required, making it convenient and accessible for small entrepreneurs.

The PM promised additional review and enhancements to the scheme to enable more aspiring entrepreneurs to access credit and expand their businesses, strengthening financial and social inclusion.