Rs 1.52 lakh crore loans sanctioned under MUDRA till Nov end; more than double amount was sanctioned in 2018-19

New Delhi, Dec 3 (KNN) The Micro Units Development & Refinance Agency Ltd (MUDRA), a non-banking financial institution registered with RBI, wants to rope in an advertising agency to carry out publicity campaign through various media for Pradhan Mantri MUDRA Yojana (PMMY).

MUDRA supports development of micro-enterprises sector by extending refinance support to banks and other financial institutions which are in the business of lending to micro/small business entities engaged in manufacturing, trading and service activities. MUDRA partners with Banks, MFIs and other lending institutions at state level/regional level in this endeavor.

PMMY, a flagship programme of Government of India, was launched during the launch of MUDRA on April 08, 2015.

PMMY envisages financing micro enterprises engaged in manufacturing, processing, trading, service sector activities and activities allied to agriculture with loan upto Rs.10 lakh for establishing/running the units across the country.

The PMMY is implemented through Banks, MFIs and NBFCs. The loan is extended under PMMY in three categories - Shishu (upto Rs.50000/-) Kishore (Rs.50000/- to 5lakh) and Tarun (Rs.5 lakh to 10 lakh).

Meanwhile, the loan sanctions under the ‘Mudra’ scheme are running at a pace well below last year as lenders keep a wary eye out for an increase in defaults.

According to data available on the Mudra website, loans worth Rs 1.52 lakh crore have been sanctioned under the scheme, while Rs 1.46 lakh crore have been disbursed so far this financial year, as of November 29.

This is less than half the Rs 3.12 lakh crore sanctioned in 2018-19. (KNN Bureau)

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