Pradhan Mantri Mudra Yojana 2021, PMMY Scheme ( In Detailed)

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Pradhan Mantri Mudra Yojana: In the above backdrop the Micro Units Development & Refinance Agency Ltd (MUDRA) was set up by the Government of India (GoI). MUDRA has been initially formed as a wholly owned subsidiary of Small Industries Development bank of India (SIDBI) with 100% capital being contributed by it. MUDRA has been formed with primary objective of developing the micro enterprise sector in the country by extending various support including financial support in the form of refinance, so as to achieve the goal of “funding the unfunded”. The GOI Press release of 2 March 2015 has laid down the roles and responsibilities of MUDRA.

Pradhan Mantri Mudra Yojana (Pmmy). Find Various Queries related to Mudra Yojana, Recently we provide Details for Eligibility Criteria For Mudra Scheme Refinance/ Loan Now In this article you can find complete details regarding Mudra Yojana like – What is Mudra Yojana, How to Get Loan, What is the Interest rate under mudra yojana etc. Now you can scroll down below and check Complete details for Pradhan Mantri Mudra Yojana (Pmmy)

Pradhan Mantri Mudra Yojana (Pmmy)

Pradhan Mantri Mudra Yojana

What is MUDRA?

MUDRA, which stands for Micro Units Development & Refinance Agency Ltd., is a new institution being set up by Government of India for development and refinancing activities relating to micro units. It was announced by the Hon’ble Finance Minister while presenting the Union Budget for FY 2016. The purpose of MUDRA is to provide funding to the non corporate small business sector

Must Read – Pradhan Mantri Mudra Scheme (Pmmy) Details in Hindi

Why MUDRA has been set up?

The biggest bottleneck to the growth of entrepreneurship in the Non –Corporate Small Business Sector (NCSBS) is lack of financial support to this sector. Majority of this sector does not have access to formal sources of finance. GoI is setting up MUDRA Bank through a statutory enactment for catering to the needs of the NCSBS segment or the informal sector for bringing them in the mainstream. To begin with, it is being set up as a subsidiary of SIDBI.

What will be roles and responsibilities of MUDRA?

MUDRA would be responsible for refinancing all Last Mile Financiers such as Non Banking Finance Companies of various types engaged in financing of small businesses, Societies, Trusts, Section 8 Companies [formerly Section 25], Co-operative Societies, Small Banks, Scheduled Commercial Banks and Regional Rural Banks which are in the business of lending to Micro / Small business entities engaged in manufacturing, trading and services activities. The Bank would partner with State / Regional level financial intermediaries to provide finance to Last Mile Financier of Small / Micro business enterprises.

What are the offerings of MUDRA? How will MUDRA function?

Under the aegis of Pradhan Mantri MUDRA Yojana, MUDRA has already created its initial products / schemes. The interventions have been named ‘Shishu’, ‘Kishor’ and ‘Tarun’ to signify the stage of growth / development and funding needs of the beneficiary micro unit / entrepreneur and also provide a reference point for the next phase of graduation / growth to look forward to :

  • a. Shishu : covering loans upto 50,000/-
  • b. Kishor : covering loans above 50,000/- and upto 5 lakh
  • c. Tarun : covering loans above 5 lakh to 10 lakh

MUDRA will be operating as a refinancing institution through State / Regional level intermediaries. MUDRA’s delivery channel is conceived to be through the route of refinance primarily to NBFCs / MFIs, besides other intermediaries including Banks, Primary Lending Institutions etc.

At the same time, there is a need to develop and expand the delivery channel at the ground level. In this context, there is already in existence, a large number of ‘Last Mile Financiers’ in the form of companies, trusts, societies, associations and other networks which are providing informal finance to small businesses.

Must Read – Mudra Bank Yojana

Who are the target clients of MUDRA / What kind of borrowers are eligible for assistance from MUDRA?

Non –Corporate Small Business Segment (NCSBS) comprising of millions of proprietorship / partnership firms running as small manufacturing units, service sector units, shopkeepers, fruits / vegetable vendors, truck operators, food-service units, repair shops, machine operators, small industries, artisans, food processors and others, in rural and urban areas.

Are Regional Rural Banks (RRBs) eligible for assistance from MUDRA?

Yes, MUDRA will be extending refinance support to RRBs for enhancing their liquidity.

What is the rate of interest charged by MUDRA?

MUDRA will be a refinancing agency which will extend its funds to Last Mile Financiers to enable them to reach out to the sector. Access to finance in conjunction with rational price is going to be the unique customer value proposition of MUDRA. It will use a variety of innovative financing means to bring down the cost of funding for the ultimate borrower.

I have a small business dealing in paper goods. Can MUDRA help me?

Yes. MUDRA will offer smaller loans upto 50,000/ under the ‘Shishu’ category and beyond 50,000 and upto 5 lakh under the ‘Kishor’ category. These products have been designed to cater to customers operating at the lower end of the enterprise spectrum. The loans will be extended through MFIs, NBFCs, Banks etc.

I have graduated recently. I want to start my own business. Can MUDRA help me?

MUDRA offers smaller loans upto 50,000/ under the ‘Shishu’ category and beyond 50,000 and upto 5 lakh under the ‘Kishor’ category. It also offers loans beyond 5lakh and upto 10 lakh under the Tarun category. Depending on your nature of business project requirement you can access finance from one of the intermediaries of MUDRA as per the norms.

I have diploma in food processing technology. I want to start my own unit. Please guide me.

Food Processing is an eligible activity for coverage under one of the MUDRA schemes. You can avail assistance under MUDRA schemes as per your requirements.

I am an artisan specialising in Jari work. I want to start my own work instead of doing job work for others. Can MUDRA help me?

You can avail assistance under the ‘Shishu’ category of Micro Credit Scheme of MUDRA through any of the MFIs operating in your region for setting up your own enterprise.

I have done a course on fashion designing. I want to open my own boutique and develop my own brand. What help can MUDRA offer to me?

MUDRA operates a special scheme for women entrepreneurs; viz; Mahila Uddyami Scheme. Assistance will be provided under all three groups, viz. ‘Shishu’, ‘Kishor’ as well as ‘Tarun’.

I intend to work on franchisee model and open an ice cream parlour. Can MUDRA help me?

MUDRA operates a special scheme ‘Business loans for Traders and Shopkeepers’. You can avail the facilities under the scheme as per your requirements.

I want to expand my pottery business by adding more variety and designs. What help can I get from MUDRA?

You can avail assistance under the ‘Shishu’ category of Micro Credit Scheme of MUDRA through any of the MFIs operating in your region for setting up your own enterprise.

Scope of PMMY & various types of loan available and which are the agencies that will provide loan?

Pradhan Mantri Mudra Yojana (PMMY) will be extended by all Public Sector Banks such as PSU Banks, Regional Rural Banks and Cooperative Banks, Private Sector Banks, Foreign Banks, Micro Finance Institutions and Non Banking Finance Companies. All loans upto a loan size of 10 lakh provided for non farm sector income generating activities since April 08, 2015 is treated as PMMY.

Who will monitor the implementation of PMMY?

Monitoring of PMMY will be done at the State level through SLBC forum and at national level by MUDRA / Department of Financial Services, Govt. of India. For this purpose, MUDRA has developed a portal, wherein the banks and other lending institutions directly feed their achievement details which is consolidated by the system and reports are generated for review.

Is there any scheme in Central/State Govt., which is applicable all over India, in which loan without guarantee is granted / the guarantors identity is checked?

Pradhan Mantri MUDRA Yojana (PMMY) is a Govt. of India Scheme, which enables a small borrower to borrow from banks, MFIs, NBFCs for loans upto 10 lakh for non-farm income generating activities. Generally, loans upto 10 lakh issued by banks under Micro Small Enterprises is given without collaterals.

Are opening of a school, carpentry and RO water plant installation eligible for the loan, If So, what is the maximum and minimum amount of loan?

Carpentry, RO water plant installation, on a business mode, and educational institution are eligible activities under MUDRA loan, if the loan amount is below 10 lakh. The primary requirement for being a MUDRA loan is to be a income generating activity under manufacturing, processing, trading and service sector and the loan amount is below 10 lakh

What is the eligibility of persons for availing MUDRA loans?

Any Indian Citizen who has a business plan for a non-farm sector income generating activity such as manufacturing, processing, trading or service sector and whose credit need is less than 10 lakh can approach either a Bank, MFI, or NBFC for availing of MUDRA loans under Pradhan Mantri Mudra Yojana (PMMY). The usual terms and conditions of the lending agency may have to be followed for availing of loans under PMMY. The lending rates are as per the RBI guidelines issued in this regard from time to time

Must Read – Eligibility Criteria For Mudra scheme Refinance/ Loan

Is there any subsidy under Pradhan Mantri Mudra Yojana (PMMY). If so details thereof?

There is no subsidy for the loan given under PMMY. However, if the loan proposal is linked some Government scheme, wherein the Government is providing capital subsidy, it will be eligible under PMMY also.

Kindly provide brief Profile of MUDRA.

MUDRA which stands for Micro Units Development and Refinance Agency Ltd. is a refinance agency and not a direct lending institution. MUDRA provides refinance support to its intermediaries viz. Banks / Micro Finance Institutions / Non Banking Finance Companies, who are in the business of lending for income generating activities in the non farm sector in manufacturing, trading and services sector and who in turn will finance the beneficiaries.

Can you provide information on MUDRA Card?

MUDRA Card is an innovative credit product wherein the borrower can avail of credit in a hassle free and flexible manner It will provide a facility of working capital arrangement in the form of CC/OD to the borrower. Since MUDRA Card will be a RuPay Debit Card, it can be used for drawing cash from ATM or Business Correspondent or make purchase using Point of Sale machine. Facility is also there to repay the amount as and when surplus is available, thereby reducing the interest burden.

Is Khadi activity eligible under PMMY loans?

Yes. MUDRA loans are applicable for any activity which results in income generation. As Khadi is one of the eligible activity under Textile sector and in case MUDRA loans are taken for income generation, the same can be covered.

Are MUDRA loans available for purchase of CNG Tempo/Taxi?

MUDRA loans would be available for purchase of CNG Tempo/Taxi, in case the applicant intends to use the vehicle as public transport carrier.

Is it required to submit IT returns for the preceding 2 years for availing loan of 10 lakh under PMMY?

Generally, IT returns are not insisted for small value loans. However, the requirement of documents will be advised by the concerned lending institutions based on the policies framed.

Is handicapped persons also eligible for PMMY loans?

Any Indian Citizen, who is eligible to avail of loan and has a business plan for income generating activity can avail of MUDRA loan. The loan proposal should be for setting up of a new/upgrading an existing Micro business enterprises in the manufacturing, processing, trading and service sector.

Can you briefly explain the repayment terms, eligibility and action plan for the assistance availed from MUDRA?

The terms and conditions of the loan will be governed by the rules and regulations of the lending institution and the broad guidelines of RBI. The lending institution will be processing the loan request, based on the merits of the proposal only. The loan amount will be decided by the requirement of the proposed income generating activity. The repayment terms will be governed by the cash flow of the enterprise and the eligibility of the borrower will be decided by the norms of lending institutions.

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If you have any other query regarding “Pradhan Mantri Mudra Yojana” then please tell us via below comment box….

39 Comments
  1. Jitendra says

    My son running trading business in iron & steel products, he require loan upto Rs.ten lacks, but he do not have any securities , as he runs the business as a self employed , since last five years with good reputation, can he get loan from nationalized bank, if so what r the terms and conditions

    1. Raju Choudhary says

      Hi Jitendra

      Yes your SON is Eligible for Mudra Loan, Please contact to your Nearest Bank

  2. Ahana says

    My mother has done beautician course and now she wants to start a parlour will she get a loan????

  3. sharan Gouda says

    Sir already I am running small automobile shop I want expand my business, can I get loan from MUDRA yojana?

    1. Raju Choudhary says

      Hi sharan Gouda

      Yes you can get loan, Please go to your bank and tell them your requirements.

  4. कैलाश पटेल says

    मेरा खाता बैंक ऑफ़ इंडिया में चार वर्ष से है खाता क्रमांक – ९४३८२०११०००००३५ चार साल से कन्टिनुऊ चल रहा है और सी. सी. खाता भी है ओर मुझे तरुण लोन लेना बैंक मना कर रही और खाता बैंक ऑफ़ इंडिया में खाता होने के कारण दुसरी बैंक मना कर रही मुझे सुझाव दे कि क्या करू
    मेरा खाता मोबाइल. नम्बर ९५८४५३८९१०

  5. Rajneesh Paliwal says

    is income tax return of last 2 years is necessary for Loan in pmmy kishor yogna

    1. Raju Choudhary says

      Hi Rajneesh Paliwal

      In My Best Knowledge there are no such type of Rule, You can apply without IT Return or With One Year IT Return, As per my experience most of banks called 2 year ITR Because they want to make your profile more stronger for easily approval of loan application from loan department. If you have any other Question feel free to ask us.

      1. monica Kulkarni says

        I am small businessman. having business of soap manufacturing. I want to apply for Mudra loan. I have applied in bank of Baroda. Bank asked me to submit project report, can u just provide me sample of project report for loan of rupees 10 lakhs.

        1. Raju Choudhary says

          Hi Monica Kulkarni

          Please download Various Project Profiles from Following link http://www.mudra.org.in/Default/DownloadFile/Project_profiles.pdf

  6. vinod kumar says

    hi my saelf vinod panchal. I want get a loan for my wife because she is a beaution . She wants to start a beauty parlour . So i want to ask you . How can I get a loan .

  7. jayshree says

    mera naam jayshree hai mai mudra loan ki details ke liye sbi bank mai gayi thi unhone jayada kuch details nahi di bus itna kaha ki sirf 50,000 ka loan ho sakta hai aur kuch bhi details mai nahi bata rahe hai, mujhe 10 lacs ka loan chahiye pls reply me ki ka procedure hai aur mujhe 10 lacs tak loan mil sakta hai ya nahi….

  8. Fatiyab khan says

    Please I’m intetsted in this loan I need this loan I improved my business my businesses services i providing customers of postpaid connection of idea

    1. Raju Choudhary says

      Hi Fatiyab khan

      Yes you can take loan, Please contact to your bank and them your requirements

  9. mangesh malode says

    I leve outside my district. I leve for rent this time. Can I use pmmy

    1. Raju Choudhary says

      Hi mangesh malode

      There are no official notification regarding your query, but i think it is possible to take loan, please contact to your bank.

  10. Jarnail Singh says

    Hamara a/c no. 06981000050240 SBP me hai aur mujhe PMMJ se “KISHOR LOAN” Chahiye aur bank mna kr rhi hai… means mujhe Loan nhi de rhi… please Help me.
    From: Dist. Jalandhar, Punjab, 9592916206

  11. J N Kohli says

    Whether a Private Limited Company is eligible under the PMMY scheme?

  12. sikandar says

    I have cc limit from corporation bank under pranmantri mudra yojna. Loan amount is 300000/- now i want to tranfer this loan to another bank, Is this possible? If yes what is process.

    Thank you

  13. Sk Md Faruk Hossain says

    I am sk md faruk I have a trading business.I sk for mudra loan to the sbi manager he told me to sub meet it return of last 3 year.Is it Ness aru for mudra loan.

    1. Raju Choudhary says

      Hi Sk Md Faruk Hossain

      Govt not issued any guideline for documents so Please submit documents as per bank requirement.

    2. Raju Choudhary says

      Hi Sk Md Faruk Hossain

      Govt not issued any guideline for documents so Please submit documents as per bank requirement.

  14. A SAHA says

    Hi, RAJU
    Thanx that u r helping the people. but cloud not find the RATE OF INTEREST regarding MUDRA loan.
    pls. help me to ans. about RATE OF INTEREST.

    1. Raju Choudhary says

      Hi A SAHA

      Please Check following article https://caknowledge.com/eligibility-criteria-for-mudra-yojana-refinance-loan/, in this you can find complete details for rate of interest.

  15. Dharmendra Dhamecha (tailo)r says

    Mare a/c dena bank & shurastra gramin bank ma 6e loan mate mane Dhaka khavrave 6e mare uniform nu kam chalu karvanu 6e ane clothing vechan mate to mane 300000 no loan male

  16. saiyad Nizamuddin says

    hi my saelf Saiyad Nizamuddin. I want get a loan for my wife because she is a beaution . She wants to start a beauty parlour . So i want to ask you . How can I get a loan .

    1. Raju Choudhary says

      Hi saiyad Nizamuddin

      Please contact to any govt bank for apply this loan.

  17. sreejith says

    sir
    i am working private company

    loan provided bank side so my bank formalites is high papper work

  18. ramnandan singh says

    sir main pardhan mantri mudra yojna loan lena cahata hu jankari batay 250000 ₹ Lena hai please sir

  19. Nikhil Naik says

    Hi I done my Hotel management I want to start my Own Business.. Mudra Help Me on this

  20. shreyansh Garg says

    I want to start a business of my own with my friends and we are doing graduation so can we avail the benefit of PMMY. Can we take a loan under mudra yajna…

  21. vinod kumar says

    Hello sir,
    This is Vinod Kumar from Jaipur Rajasthan
    I want to use off PMMY for my own business
    Firstly I want to take field and then after I want start animal plant and pure vwgitable plant…and so more
    I am a technical student..
    But I am interested in this business
    Would u like to tell me that I am eligible for this PMMY loan

    Thanks & Regards
    Vinod kr

  22. pappu says

    will students be offered mudra loan?? starting up capital for juice bar??

  23. Balaji says

    Hi this is balaji..now i am taking job works from clients and i get the work done by some printing press. Now i want to to do it in my own, for that i require an amount of Rs 900000/- as loan from mudra to setup my own press…what is the procedure for that and how to approach…Thanks …Balaji

  24. K.N.SINGH , Mobile no.9413257595 says

    I am an unemployed person and want to buy an e-Rickshaw for earning livelihood through this e=vehicle. Please inform me whether i can obtain loan to buy e-rickshaw under MUDRA scheme of PMMRY. Please also inform the procedure and which bank will provide this facility under the said scheme.

    Thanks & awaiting your speedy response.

    K.N.SINGH-9413257595

  25. W Kumar says

    I want to study for higher education,but I don’t have money for this. So can I take or eligible for lone . Plz suggest me..

  26. jayaram says

    I would like to set up my new paper cup ,plates small scale industry can mudra provide loan facility

  27. Aruna sree says

    Sir can u please say that sir Pmmy also for training centres especially for students like networking, logistics,ect..

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