Mudra Loan - Details

What is Mudra Loans - Everything a businessman needs to know

What is a MUDRA Loan ?

The Pradhan Mantri Mudra Yojana (PMMY) was launched by the Indian government to provide financial support to small and micro-enterprises. "Mudra" stands for Micro Units Development and Refinance Agency.

Vision & Mission

  • To be an integrated financial and support services provider par excellence benchmarked with global best practices and standards for the bottom of the pyramid universe for their comprehensive economic and social development.
  • To create an inclusive, sustainable and value-based entrepreneurial culture, in collaboration with our partner institutions in achieving economic success and financial security.


  • The primary objective of Mudra Loans is to promote entrepreneurship and to provide financial assistance to small and micro-enterprises engaged in non-farm income-generating activities.

What is Mudra loan limit ?

Mudra Loans are categorized into three main segments based on the stage of growth and funding requirements:

  • Shishu: Loans up to Rs. 50,000
  • Kishor: Loans ranging from Rs. 50,001 to Rs. 5,00,000
  • Tarun: Loans ranging from Rs. 5,00,001 to Rs. 10,00,000

Who is eligible for Mudra Loan ?

Individuals, partnerships, proprietary concerns, and private and public limited companies can apply for Mudra Loans, provided they are involved in income-generating activities.

Which banks give Mudra Loans ?

Various financial institutions, including banks, non-banking financial companies (NBFCs), and microfinance institutions, are involved in providing Mudra Loans. One can approach any public sector bank to get a Mudra loan for their enterprise. Also Banks give pre-approved mudra loans based on transactions in the current account of an enterprise.

What is the minimum CIBIL score for MUDRA loan ?

Generally, CIBIL score for Mudra Loan should possess ranges from 650 – 700. However, banks don't consider CIBIL score as a strict determinant of eligibility. Also at times bank consider CIBIL Rank instead of Score to check eligibility for Mudra Loan.

What is the procedure of getting Mudra loan ?

Applicants can approach participating banks or financial institutions to apply for Mudra Loans. The application process is designed to be simplified to encourage small business owners to access credit easily. Usually it is a single page form to be easy enough to apply for any enterprise.

These loans are given by Commercial Banks, RRBs, Small Finance Banks, MFIs and NBFCs. The borrower can approach any of the lending institutions mentioned above or can apply online through this portal .

How many Mudra loans have been given?


  • No. Of PMMY Loans Sanctioned: 62310598
  • Amount Sanctioned: 456537.98 CRORE
  • Amount Disbursed: 450423.66 CRORE

What is NPA percentage of Mudra Loans ?

The total non-performing assets (NPAs) as a percentage of credit disbursed under Mudra Loans as of March 31, 2023, stood at 2.62 percent (provisional), according to the official data by RBI.

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