Mudra Loans Cross Rs. 5 Trillion Milestone in FY24

New Delhi, Jun 5 (KNN) In a significant boost to small businesses and entrepreneurship in India, Mudra Loans under the Pradhan Mantri Mudra Yojana (PMMY) have surpassed the Rs. 5 trillion mark in disbursals during the fiscal year 2023-24.

This momentous achievement underscores the government's commitment to providing collateral-free financing to micro, small, and medium enterprises (MSMEs) and fostering an ecosystem of inclusive growth.

Launched in 2015, the Mudra Loan scheme has emerged as a game-changer for the underbanked and underserved segments of the economy.

By offering collateral-free loans of up to Rs. 10 lakhs to individuals and enterprises involved in manufacturing, trading, and services, the scheme has empowered countless entrepreneurs to turn their dreams into reality.

"The milestone of Rs. 5 trillion in Mudra Loan disbursals is a testament to the government's unwavering commitment to the MSME sector," said the Finance Minister. "These loans have played a crucial role in promoting entrepreneurship, job creation, and economic growth across the country."

The success of Mudra Loans can be attributed to several factors, including competitive interest rates, flexible repayment terms, and a wide coverage spanning rural and urban areas.

Moreover, the scheme's inclusive approach, targeting underprivileged sections of society, has contributed to financial inclusion and socioeconomic empowerment.

One of the notable achievements of the Mudra Loan scheme has been its impact on women entrepreneurs. A substantial percentage of beneficiaries under the scheme are women, further promoting gender equality and empowerment.

As India continues its journey towards becoming a global economic powerhouse, initiatives like Mudra Loans will play a pivotal role in nurturing the entrepreneurial spirit and driving innovation.

The government remains committed to supporting small businesses and fostering an ecosystem conducive to their growth and success.

(KNN Bureau)