PM Mudra Yojana: Who is eligible, loan categories, how to apply

Any Indian citizen involved in non-agricultural activities, such as manufacturing, trading or services, can apply for a PMMY loan. Both, new and existing enterprises, whose credit needs are up to Rs.10 lakh, are eligible.

money-call

To encourage entrepreneurship and support small businesses, the government has introduced the Pradhan Mantri Mudra Yojana, a flagship scheme that provides financial assistance to micro enterprises and individuals engaged in non-agricultural activities.

Who is eligible?

Any Indian citizen involved in non-agricultural activities, such as manufacturing, trading or services, can apply for a PMMY loan. Both, new and existing enterprises, whose credit needs are up to Rs.10 lakh, are eligible.

Loan category
The credit is categorised in three baskets: Shishu (up to Rs.50,000), Kishore (Rs.s.50,001-Rs.5,00,000), and Tarun (Rs.5,00,001-Rs.10,00,000). Depending on their financial requirements, applicants can choose from the above categories. The category determines the amount of financial assistance.

Approaching financial institutions

Growfast

Java Programming with ChatGPT: Learn using Generative AI

Artificial Intelligence(AI) Java Programming with ChatGPT: Learn using Generative AI By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Basics of Generative AI : Unveiling Tomorrow

Artificial Intelligence(AI) Basics of Generative AI : Unveiling Tomorrow's Innovations By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Generative AI for Dynamic Java Web Applications with ChatGPT

Artificial Intelligence(AI) Generative AI for Dynamic Java Web Applications with ChatGPT By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Mastering C++ Fundamentals with Generative AI: A Hands-On

Artificial Intelligence(AI) Mastering C++ Fundamentals with Generative AI: A Hands-On By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Master in Python Language Quickly Using the ChatGPT Open AI

Artificial Intelligence(AI) Master in Python Language Quickly Using the ChatGPT Open AI By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Zero to Hero in Microsoft Excel: Complete Excel guide 2024

Office Productivity Zero to Hero in Microsoft Excel: Complete Excel guide 2024 By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Vastu Shastra Course

Astrology Vastu Shastra Course By - Sachenkumar Rai, Vastu Shashtri View Program

SQL for Data Science along with Data <a href=Analytics and Data Visualization" width="300" height="80" />

Data Science SQL for Data Science along with Data Analytics and Data Visualization By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

A Comprehensive ASP.NET Core MVC 6 Project Guide for 2024

Web Development A Comprehensive ASP.NET Core MVC 6 Project Guide for 2024 By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Mastering Microsoft Office: Word, Excel, PowerPoint, and 365

Office Productivity Mastering Microsoft Office: Word, Excel, PowerPoint, and 365 By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Digital marketing - Wordpress Website Development

Marketing Digital marketing - Wordpress Website Development By - Shraddha Somani, Digital Marketing Trainer, Consultant, Strategiest and Subject Matter expert View Program

Mastering Full Stack Development: From Frontend to Backend Excellence

Web Development Mastering Full Stack Development: From Frontend to Backend Excellence By - Metla Sudha Sekhar, Developer and Lead Instructor View Program

Financial Literacy - TDS, Budget, Income Tax Act, GST, Indirect tax

Finance Financial Literacy - TDS, Budget, Income Tax Act, GST, Indirect tax By - CA Rahul Gupta, CA with 10+ years of domain experience, trainer View Program

Business Storytelling Masterclass

Leadership Business Storytelling Masterclass By - Ameen Haque, Founder of Storywallahs View Program

Future of Marketing & Branding Masterclass

Future of Marketing & Branding Masterclass By - Dr. David Aaker, Professor at Haas School of Business View Program

Human <a href=Potential and the Future of Employment" width="300" height="80" />

HR & People Management Human Potential and the Future of Employment By - Lynda Gratton, Co-chair of the World Economic Forum Council on Work, Wages and Job Creation, Professor of Management Practice View Program

ESG and Business Sustainability Strategy

Strategy ESG and Business Sustainability Strategy By - Vipul Arora, Partner, ESG & Climate Solutions at Sattva Consulting Author I Speaker I Thought Leader View Program

Financial Reporting and Analytics

Finance Financial Reporting and Analytics By - Dr. C.P. Gupta, Professor: Department of Finance and Business Economics, University of Delhi View Program

Performance Marketing for eCommerce Brands

Marketing Performance Marketing for eCommerce Brands By - Zafer Mukeri, Founder- Inara Marketers View Program

Individuals can approach various financial institutions, such as banks, NBFCs, and micro finance institutions, that are registered under the PMM Yojana to initiate the loan application process.


Submission of application

Applicants need to provide identity proof, address proof and other relevant business documents. The loan application form should be filled with accurate and complete information about their business and financial needs. After considering factors such as the business plan, financial viability and creditworthiness, the loan amount is approved, and then disbursed.

Content on this page is courtesy Centre for Investment Education and Learning (CIEL).
Contributions by Girija Gadre, Arti Bhargava and Labdhi Mehta.

(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of www.economictimes.com.)

Read More News on

Subscribe to The Economic Times Prime and read the ET ePaper online.

Read More News on

Subscribe to The Economic Times Prime and read the ET ePaper online.

Prime Exclusives Investment IdeasStock Report PlusePaperWealth Edition

Wealth edition

Popular in Wealth