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Sunday, September 13, 2015

Government fixes Rs 1.22 lakh crore loan disbursement target under Pradhan Mantri MUDRA Yojana

Banks will disburse about Rs 1.22 lakh crore loan to small business units under Pradhan Mantri MUDRA Yojana (PMMY) during the current fiscal.

The banking sector has been allocated an overall disbursement target of Rs 1,22,188 crore during 2015-16 for MUDRA loans and the banks have already disbursed Rs 15,566 crore as on August 17 to more than 20 lakh borrowers under PMMY, a Finance Ministry statement said.

Banks are making best possible efforts to popularise the scheme. Awareness camps are also being organised at various locations by the banks," it said.

"Besides, it has been decided to organise mega credit camps across the country between September 25, and October 2, for PMMY loans so that maximum number of borrowers could get credit as per their requirement under the three categories of loans," the statement added.

The PMMY provide loans between Rs 50,000-Rs 10 lakh to small entrepreneurs. The Micro Units Development and Refinance Agency Ltd (MUDRA) focuses on the 5.75 crore self-employed who use funds of Rs 11 lakh crore and provide jobs to 12 crore people.

The scheme was launched by the Prime Minister Narendra Modi in April.

Three products available under the PMMY are Shishu, Kishor and Tarun to signify the stage of growth and funding needs of the beneficiary micro unit or entrepreneur .. 
Shishu covers loans up to Rs 50,000 while Kishor covers above Rs 50,000 and up to Rs 5 lakh. Tarun category provides loans of above Rs 5 lakh and up to Rs 10 lakh.

In lending, priority will be given to SCs/STs enterprises, it said. 



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