10 Glorious Years Of PM Mudra Yojana: Let’s Have A Look At Its Milestones

Pragya Pathak

Author

Updated: 16-04-2025 at 12:59 PM

The government of India has launched several schemes and services with just one aim, i.e., to improve the quality of lives of people by helping them in accessing necessary and crucial needs. One of those schemes is the Pradhan Mantri Mudra Yojana (PMMY), which has now completed a 10-year milestone.

Read the article to learn more details about the PM Mudra Yojana and the impact it has had since the last 10 years of its working.

What Is The Pradhan Mantri Mudra Yojana?

The Pradhan Mantri Mudra Yojana was launched on the 8th of April, 2015 by the honourable Prime Minister of India to help boost the abilities of small businesses and sectors belonging to non-farming. The PMMY provides concessions in the form of collateral-free loans of up to Rs. 10 lakh to marginal borrowers and also new business owners under three categories, which are differentiated as Shishu (up to Rs. 50,000), Kishore (Rs. 50,000 – Rs. 5 lakh), and Tarun (Rs. 5 lakh – Rs. 10 lakh).

10 Years Of Pradhan Mantri Mudra Yojana

Till today, the PM Mudra Yojana has loaned around Rs. 33 lakh crore collateral-free loans to roughly 52 crore beneficiaries from various parts of the nation. Beneficiaries consist of women and people from the marginalised communities

The Sarkari Yojana has had a strong impact on the people and the country as a whole. It has changed the landscape in the following ways laid down below in detail for one’s better understanding.

1. Empowerment Of Minority Communities

As per the report of the State Bank of India, half of the Mudra accounts are owned by people from minority communities like Scheduled Castes (SCs), Scheduled Tribes (STs), and Other Backward Classes (OBCs).

It has also been noticed that Kishor and Tarun loans are more in demand compared to Shishu loans. Kishor loans have increased drastically from 5.9% in 2016 to 44.7% now, along with the average size of the loans from Rs. 38,000 in 2016 to over Rs. 1.02 lakh till date.

2. Women Entrepreneurs

Out of the total beneficiaries of PMMY, 68% are women. It has also been noted that the average loan taken by each woman has increased by 13%, which makes the amount near Rs. 62,679. The average deposit balances rose to 14% annually, making the average deposit amount around Rs. 95,269.

3. Credit Taken By MSMEs

The credit given to the Micro, Small, & Medium Enterprises (MSMEs) increased from Rs. 8.51 lakh crore in 2014 to Rs. 27.25 lakh crore and is expected to cross the Rs. 30 lakh crore mark this year.

4. Top States

The five major states which has given the highest Mudra loans are listed below in tabular form:

Name of the state	Mudra Loan Amount
Tamil Nadu	Rs. 3.23 lakh crore
Uttar Pradesh	Rs. 3.14 lakh crore
Karnataka	Rs. 3.02 lakh crore
Maharashtra	--
West Bengal	--

In Union Territories, Jammu & Kashmir is leading by Rs. 45,816 crore given to around 21 lakh Mudra account holders.

5. NPA Under Mudra

The govt has managed to keep the Non-Performing assets (NPA) to be as low as possible. Presently, NPA has been stagnant at 3.6%.

Conclusion

The Pradhan Mantri Mudra Yojana has proved itself to be one of the best initiatives launched by the Indian government to provide financial aid to people from the less fortunate sections of society. It acts as a sword for people from the marginalised or low-income groups and powers them to turn their dreams into reality.

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