Women borrowers receive more than 19.22 crore loans worth Rs. 7.93 lakh crore, constituting approx. 67% of total number of loans sanctioned

As per data uploaded by Member Lending Institutions (MLIs) on Mudra portal, over 28.89 crore loans involving a sanctioned amount of Rs. 17.77 lakh crore have been extended under Pradhan Mantri Mudra Yojana (PMMY) in the last five financial years, i.e., 01.04.2018 to 31.03.2023. This was stated by Union Minister of State for Finance Dr. Bhagwat Kisanrao Karad in a written reply to a question in Rajya Sabha.

Further, the Minister stated that more than 19.22 crore loans amounting to Rs. 7.93 lakh crore have been extended to women borrowers, constituting approx. 67% of the total number of loans sanctioned under the Scheme.

Under Pradhan Mantri Mudra Yojana (PMMY), collateral-free institutional credit up to Rs. 10 lakh is provided by Member Lending Institutions (MLIs) i.e. Scheduled Commercial Banks (SCBs), Regional Rural Banks (RRBs), Non-Banking Financial Companies (NBFCs) and Micro Finance Institutions (MFIs) to micro/small business units for income generating activities in the manufacturing, trading, services sector and also for activities allied to agriculture.

Giving more information, the Minister stated that the Government has taken various steps towards spreading awareness about PMMY across the country. These, inter-alia, include publicity campaigns through print media, TV, radio jingles, hoardings, town hall meetings, financial literacy and awareness camps, special drive for financial inclusion etc. Banks also undertake publicity through their branches and also through Banking Correspondents (BCs).

Collateral-free institutional credit under PMMY provides up to specified loan limits to micro and small enterprises, predominantly benefiting women borrowers. PMMY provides collateral-free institutional credit up to Rs. 10 lakh through Scheduled Commercial Banks, Regional Rural Banks, NBFCs and MFIs to micro and small business units for income-generating activities in manufacturing, trade, services and activities allied to agriculture, and a majority of sanctioned loans in the reported period were extended to women borrowers.