Module 12: Micro Enterprises Lending - Pradhan Mantri Mudra Yojana (PMMY)

📖 Chapter 7 of 10 🧩 Module 14 of 18 ⏱️ ~2 min read 💡 1 MCQs

Topic Part 1 of 2

The Pradhan Mantri Mudra Yojana (PMMY) was launched by the Central Government in April 2015 to foster an inclusive, value-based entrepreneurial ecosystem for small and micro businesses.

Institutional Architecture & Lending Mandate:

MUDRA (Micro Units Development and Refinance Agency) provides refinancing support for non-corporate, non-farm income-generating enterprises whose credit requirements are below Rs. 10.0 lakh.
Loans are entirely collateral-free and disbursed through Commercial Banks, RRBs, SFBs, Cooperative Banks, MFIs, and NBFCs.

Three Tiered Loan Products:

Shishu: Loans covering initial startup needs up to Rs. 50,000.
Kishore: Loans from Rs. 50,000 to Rs. 5.00 lakh for established micro units.
Tarun: Loans from Rs. 5.00 lakh to Rs. 10.00 lakh for enterprise expansion.

PMMY Performance in Bihar:

Total loan amount sanctioned in Bihar surged from Rs. 4,170.5 crore in 2018-19 to Rs. 9,531.12 crore in 2019-20.
Disbursed loans increased from Rs. 7,458.0 crore to Rs. 8,698.89 crore.
Number of sanctioned loan accounts more than doubled from 8.8 lakh in 2018-19 to 17.9 lakh in 2019-20.
Target achievement rate was highest in the 'Shishu' category at 99.0 percent in 2019-20.

⭐ Key Points

Total loan amount sanctioned in Bihar surged from Rs. 4,170.5 crore in 2018-19 to Rs. 9,531.12 crore in 2019-20.
Disbursed loans increased from Rs. 7,458.0 crore to Rs. 8,698.89 crore.
Number of sanctioned loan accounts more than doubled from 8.8 lakh in 2018-19 to 17.9 lakh in 2019-20.
Target achievement rate was highest in the 'Shishu' category at 99.0 percent in 2019-20.

📌 One-line Q&A

Total loan amount sanctioned in Bihar surged from Rs. ______ crore in 2018-19 to Rs. 9,531.12 crore in 2019-20. — 4,170.5
Disbursed loans increased from Rs. ______ crore to Rs. 8,698.89 crore. — 7,458.0
Number of sanctioned loan accounts more than doubled from ______ lakh in 2018-19 to 17.9 lakh in 2019-20. — 8.8
Target achievement rate was highest in the 'Shishu' category at ______ percent in 2019-20. — 99.0

Questions 1 MCQs

Answer this question, then use Next.

What is the maximum loan limit covered under the 'Shishu' product of the Pradhan Mantri Mudra Yojana?

Under PMMY, Shishu covers loans up to Rs. 50,000, Kishore from Rs. 50,000 to Rs. 5 lakh, and Tarun up to Rs. 10 lakh.

Question 1 of 1

One-liners

Write your answer, then submit to see the correct answer.

Total loan amount sanctioned in Bihar surged from Rs. ______ crore in 2018-19 to Rs. 9,531.12 crore in 2019-20.

4,170.5

Disbursed loans increased from Rs. ______ crore to Rs. 8,698.89 crore.

7,458.0

Number of sanctioned loan accounts more than doubled from ______ lakh in 2018-19 to 17.9 lakh in 2019-20.

8.8

Target achievement rate was highest in the 'Shishu' category at ______ percent in 2019-20.

99.0