11 Years Of PMMY: All You Need To Know About The Scheme

The scheme provides collateral-free loans up to Rs 20 lakh, benefiting MSMEs, marginalized communities, and women, fostering inclusive economic growth across India.

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  • On the 11th anniversary of PMMY, PM Narendra Modi praised the scheme for fostering self-employment and entrepreneurship among India’s youth.
  • The initiative offers collateral-free loans up to Rs 20 lakh for micro, small, and medium enterprises.
  • Over half of the beneficiaries are from marginalized communities, with women receiving 67% of
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On the 11th anniversary of the Pradhan Mantri MUDRA Yojana (PMMY), Prime Minister Narendra Modi praised the scheme's success, highlighting its transformative impact on India's youth.

Launched on April 8, 2015, Modi noted that the initiative has played a significant role in fostering an ecosystem of self-employment and entrepreneurship among young citizens and driving balanced economic development.

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The initiative strengthens India's grassroots entrepreneurs by bridging the gap in financial accessibility, offering collateral-free loans up to Rs 20 lakh to support small-scale business ventures. It also covers the non-corporate and non-farm income-generating activities of Micro, Small, and Medium Enterprises (MSMEs).

Key Features of the PMMY Scheme

Loans are categorized into four distinct brackets based on the funding requirements of the borrower:

  • Shishu: Covers loans up to Rs 50,000, targeting micro-enterprises in their initial stages.
  • Kishor: Designed for mid-stage businesses, covering loans above Rs 50,000 and up to Rs 5 lakh.
  • Tarun: Aimed at established small businesses, covering loans above Rs 5 lakh and up to Rs 10 lakh.
  • Tarun Plus: A recently introduced category for larger expansion needs, covering loans between Rs 10 lakh and Rs 20 lakh.

The country's financial inclusion programme is built on three key pillars, namely:

  1. Banking the Unbanked
  2. Securing the Unsecured
  3. Funding the Unfunded

In a post on X handle, Modi stated, “The Pradhan Mantri Mudra Yojana, launched exactly 11 years ago, has proven to be very helpful in promoting self-employment among the youth. The success of the scheme shows that when given the right opportunities, individuals can not only become self-reliant but also contribute to the nation's progress.”

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He further explained that intellect is also a dharma, “Self-knowledge is the beginning, forbearance is the constancy of dharma. He who is not distressed by adversities is truly called a wise man.”

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