Central government scheme · Ministry of Finance (Department of Financial Services)
Pradhan Mantri MUDRA Yojana
Also called PMMY
Pradhan Mantri MUDRA Yojana is a central scheme run by the Ministry of Finance (Department of Financial Services) that provides collateral-free loans of up to ₹20 lakh for small businesses. It is for any individual who has a business plan for a small income-generating enterprise in manufacturing, trading, services, or agriculture-allied activities. Borrowers get loans divided into categories: Shishu up to ₹50,000, Kishor above ₹50,000 and up to ₹5 lakh, Tarun above ₹5 lakh and up to ₹10 lakh, and Tarun Plus above ₹10 lakh and up to ₹20 lakh. To apply, approach a bank, regional rural bank, small finance bank, NBFC, or microfinance institution with a business plan, or apply online through the Jan Samarth portal.
Written by AI from the official details below.
Who can apply for PMMY
- Any individual who is otherwise eligible for a loan and has a business plan for a small income-generating enterprise.
- Covers manufacturing, trading and services, and agriculture-allied activities such as poultry, dairy and beekeeping.
- Tarun Plus loans (above ₹10 lakh) are only for borrowers who took and fully repaid a Tarun loan.
PMMY benefits
- Shishu: loans up to ₹50,000.
- Kishor: loans above ₹50,000 and up to ₹5 lakh.
- Tarun: loans above ₹5 lakh and up to ₹10 lakh.
- Tarun Plus: loans above ₹10 lakh and up to ₹20 lakh (from 24 October 2024).
- No collateral is needed. Both term loans and working capital can be financed.
How to apply for PMMY
- Approach a bank, regional rural bank, small finance bank, NBFC or microfinance institution with your business plan.
- Or apply online through the Jan Samarth portal, which checks eligibility and sends the application to the lender you choose.
Where it applies
Every state and union territory. See what else applies near you
Checked
Checked against the sources below on 16 October 2026. Rules change, so confirm on the official site before you apply.
- Pradhan Mantri MUDRA Yojana (PMMY) · Department of Financial Services, Ministry of Finance
- PMMY completes 11 years (8 Apr 2026) · Press Information Bureau (Ministry of Finance)
- PM Mudra Yojana provides collateral-free loans up to ₹20 lakh (14 Mar 2026) · Press Information Bureau (Ministry of MSME)
- Jan Samarth Portal completes 4 years (5 Jun 2026) · Press Information Bureau
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