Government's Diwali gift to small entrepreneurs: Under PMMY you can get loan up to Rs 20 lakh

PMMY: Finance Minister Nirmala Sitharaman, while presenting the Union Budget 2024-25 on July 23, 2024, said that the limit under the Pradhan Mantri Mudra Yojana (PMMY) will be increased from the current Rs 10 lakh to Rs 20 lakh. Its notification has now been issued by the government. Let us know in detail about this decision of the government in this report.

Fri, 25 Oct 2024 06:49 PM (IST)
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Government's Diwali gift to small entrepreneurs: Under PMMY you can get loan up to Rs 20 lakh
Government's Diwali gift to small entrepreneurs: Under PMMY you can get loan up to Rs 20 lakh

Under the Pradhan Mantri Mudra Yojana (PMMY), the government has doubled the loan limit to promote entrepreneurship in the country by Rs 20 lakh. On Friday, this statement was confirmed by the Finance Ministry. With this increment, the ministry said, we want to further the overall objective of the Mudra scheme." A notification was issued in this regard on Thursday.

While presenting the Union Budget 2024-25 on July 23, 2024, Finance Minister Nirmala Sitharaman said that the limit under the Pradhan Mantri Mudra Yojana (PMMY) will be enhanced from the present Rs 10 lakhs to Rs 20 lakhs.

"The limit of Mudra loan will be increased from the current Rs 10 lakh to Rs 20 lakh for an entrepreneur who has availed of a loan earlier under the 'Tarun' category and has successfully repaid the same," said Sitharaman while presenting the budget in Lok Sabha. 

Launched on April 8, 2015, by Prime Minister Narendra Modi, PMMY intends to provide collateral-free easy micro loans up to Rs 10 lakh to non-corporate, non-agricultural small and micro-entrepreneurs for income-generating activities.

The scheme offers collateral-free loans amounting to Rs 10 lakh under three categories: Shishu up to Rs 50,000; Kishor for between Rs 50,000 and Rs 5 lakh; and Tarun, for Rs 10 lakh.

Muskan Kumawat Journalist & Writer