Pradhan Mantri Mudra Yojana (PMMY)
Pradhan Mantri Mudra Yojana (PMMY) is a flagship scheme of Government of India. The scheme facilitates micro credit/Loan up to Rs. 20 lakhs to income generating micro enterprises engaged in the non farm sector in manufacturing, trading or service sectors including activities allied to agriculture such as poultry, dairy, beekeeping, etc. Budget 2024 introduced the Tarun Plus category, extending Tarun loans up to ₹20 lakhs for businesses with a good repayment track record. The Scheme provides financial assistance extended by Member Lending Institutions to the non-corporate, non-farm sector income generating activities of micro and small entities.These micro and small entities comprise 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.
Key Benefits & Advantages
Key benefits of Pradhan Mantri Mudra Yojana:
- Shishu loans up to ₹50,000 for micro-enterprises
- Kishore loans from ₹50,000 to ₹5 lakhs for growing businesses
- Tarun loans from ₹5 lakhs to ₹20 lakhs for expanded operations (Tarun Plus up to ₹20 lakhs introduced in Budget 2024)
- No collateral required for loans under Shishu category
- Low interest rates compared to market rates
- Minimal documentation process
- Both new and existing businesses can apply
- Special focus on women entrepreneurs
Eligibility Criteria
Eligibility criteria for PMMY loans:
Step-by-Step Application Process
Online Application Method
- 1 Visit the official PMMY portal (www.mudra.org.in)
- 2 Register and create your account
- 3 Fill the online application form
- 4 Upload required documents
- 5 Select loan category (Shishu/Kishore/Tarun)
- 6 Choose preferred bank/financial institution
- 7 Submit application and track status online
Offline / In-Person Method
- 1 Visit nearest participating bank branch
- 2 Collect PMMY loan application form
- 3 Fill form with business details and loan requirement
- 4 Submit completed form with required documents
- 5 Attend interview with bank official if required
- 6 Complete verification process
- 7 Receive loan sanction and disbursement
Required Documents Checklist
Documents needed for PMMY loan application:
Official Statutory References & Sources
Frequently Asked Questions
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