Ministry of Finance (Department of Financial Services)
PMMY (Mudra loan)
Pradhan Mantri Mudra Yojana
Collateral-free loans up to ₹20 lakh from banks, NBFCs and microfinance institutions for small non-farm businesses in manufacturing, trading, services and farm-allied activities.
Official portal ↗Apply only on the official portal or at an authorised centre. Never pay an agent to apply.
What you get
- Collateral-free loans up to ₹20 lakh.
- 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, only for those who have taken and fully repaid an earlier Tarun loan (in effect from 24 October 2024).
- Covers both term loans and working capital.
- Working capital can be drawn through a MUDRA Card (a RuPay debit card with an overdraft facility).
- Loans are backed by the Credit Guarantee Fund for Micro Units (CGFMU).
Who can apply
- Any individual who is otherwise eligible to take a loan and has a business plan for a small business enterprise.
- The loan must be for an income-generating activity in manufacturing, trading, services, or activities allied to agriculture (such as poultry, dairy, beekeeping, fishery).
- For non-corporate, non-farm micro and small enterprises.
- Covers vendors, traders, shopkeepers and other service activities, and commercial transport vehicles such as auto rickshaws and e-rickshaws.
- Tarun Plus is only for borrowers who have availed and successfully repaid a previous Tarun loan.
How to apply
- Approach a Member Lending Institution: a scheduled commercial bank, regional rural bank, small finance bank, NBFC or microfinance institution.
- Or apply online through the Jan Samarth portal (jansamarth.in), which offers self-service or assisted applications.
- Online applications are also accepted through the Udyamimitra portal and PSBloansin59minutes.
- The MUDRA MITRA mobile app explains how to approach a bank and has sample loan application forms.
Sources
Checked against these official pages on 26 September 2026. Rules and amounts change — if the official page says something different, it is right and we are out of date.
- PM Mudra Yojana Provides Collateral-Free Loans up to ₹20 Lakh to Entrepreneurs and Enterprises (PIB, 14 Mar 2026)
- 11 Years of Pradhan Mantri MUDRA Yojana (PIB, 8 Apr 2026)
- Loan limit under PMMY increased to Rs.20 lakh from the current Rs.10 lakh (PIB, 25 Oct 2024)
- Pradhan Mantri Mudra Yojana: Loan Limit Raised to ₹20 Lakh from ₹10 Lakh (PIB, 29 Oct 2024)
- PMMY completes 10 glorious Years (PIB, 8 Apr 2025)