As per ‘Atmanirbhar Bharat Abhiyan’ or ‘Self-reliant India Scheme’, Government of India introduced various benefits under MUDRA Shishu Category
- Relief of Rs. 1500 crore to MUDRA Shishu loan borrowers
- Rs. 1500 crore Interest subsidy for MUDRA Shishu Loan category
- Government of India shall provide Interest discount of 2% for fast recipients for a period of 12 months
Micro-Units Development and Refinance Agency (MUDRA) was set up in April 2015 to help and support small and micro business units under the Pradhan Mantri Mudra Yojana (PMMY). The Mudra scheme was launched with a budget of Rs. 20,000 crores. Also known as Mudra Loan Yojana or Mudra Bank Scheme, the credit products offered by MUDRA are more commonly known as Mudra loans.
These Mudra loans are divided into three types based on the needs of businesses in the Micro, Small and Medium Enterprises (MSME) segment. Each Mudra loan has a specified loan amount, application procedure and interest rates. The Mudra loan eligibility criteria and application procedure are also slightly different for different banks. Applicant must get the application form from the bank of his/her choice and inquire about eligibility criteria to make sure that he/she follow the procedure properly and have better chances of getting a loan approval.