PM Mudra Yojana — Quick Overview
| Scheme Name | PM Mudra Yojana 2026 — Collateral-Free Business Loan ₹50K to ₹20 Lakh |
| Launched By | Government of India |
| Launch Year | 2015 |
| Benefit | Collateral-free loan ₹50,000 to ₹20 lakh at low interest — 4 categories including new Tarun Plus (2024) |
| Category | MSME & Industry |
| Last Verified | 10 May 2026 |
| Official Portal | https://mudra.org.in |
What is PM Mudra Yojana?
Pradhan Mantri Mudra Yojana, run through the Micro Units Development and Refinance Agency (MUDRA) under the Department of Financial Services, offers collateral-free business loans to non-corporate, non-farm micro and small enterprises. Loans are sanctioned under four categories: Shishu (up to ₹50,000), Kishore (₹50,001–₹5 lakh), Tarun (₹5 lakh–₹10 lakh), and Tarun Plus (₹10 lakh–₹20 lakh, launched 2024 for repeat Tarun borrowers). Funds are routed through banks, RRBs, NBFCs and microfinance institutions, and disbursed directly to the borrower's account, helping small traders, manufacturers and service providers expand. Over 52 crore loans worth ₹27 lakh crore have been sanctioned since 2015.
Under this scheme, eligible beneficiaries receive Collateral-free loan ₹50,000 to ₹20 lakh at low interest — 4 categories including new Tarun Plus (2024). The scheme was launched in 2015 and is implemented by the Government of India.
Benefits of PM Mudra Yojana
Collateral-free loan ₹50,000 to ₹20 lakh at low interest — 4 categories including new Tarun Plus (2024)
Who is Eligible for PM Mudra Yojana?
- ✓Non-corporate, non-farm small business
- ✓Micro enterprise or self-employed individual
- ✓Existing business or new startup
- ✓No default on previous loans
Documents Required for PM Mudra Yojana
How to Apply for PM Mudra Yojana Online?
- 1Visit the official portal at https://mudra.org.in
- 2Click on Apply Now or Register button on the homepage
- 3Enter your Aadhaar-linked mobile number and verify OTP
- 4Fill in the online application form with required details
- 5Upload the required documents: Aadhaar Card, PAN Card, Business proof / registration
- 6Review all details and submit the application
- 7Note down the application reference number for future tracking
- 8Wait for verification and approval from the concerned authority
Official Government Portal
Apply directly on the official government website. This is the only authorised portal — never pay anyone to apply on your behalf.
🔗Apply on mudra.org.inApply Together — Scheme Bundles
These schemes complement PM Mudra Yojana. Apply for all of them together to maximise your benefits.
Artisan & Small Business Bundle
Toolkit grant + business loan — most artisans miss PM Mudra
Real-Life Examples — Are You Eligible for PM Mudra Yojana?
Find the profile closest to your situation to quickly check whether you qualify:
Rekha, who runs a small tailoring unit and needs ₹40,000 to buy two more sewing machines, applying through her bank
Eligible — she is a non-corporate, non-farm micro enterprise and the amount falls within the Shishu category
Sunil, a first-time entrepreneur setting up a snack-manufacturing micro unit who needs ₹3 lakh working capital
Eligible — a new business in the non-farm sector qualifies, and ₹3 lakh fits the Kishore category
Farida, who repaid her ₹8 lakh Tarun loan on time and now wants ₹15 lakh to expand the same unit
Eligible — the Tarun Plus category (₹10–20 lakh) is meant for borrowers who successfully repaid a Tarun loan
Vikram, who wants a ₹6 lakh loan to buy farmland and grow crops
Not eligible — Mudra funds non-farm micro and small enterprises — direct agriculture/farm activity is not covered
Examples are illustrative — always confirm against the official eligibility criteria before applying.
Common Mistakes — Why PM Mudra Yojana Applications Get Rejected
- ✗Applying with an incomplete or missing business proof/registration, so the bank cannot assess the enterprise.
- ✗Using a bank account not linked to Aadhaar, which delays verification and disbursement of the loan amount.
- ✗Submitting bank statements shorter than the requested six months or with mismatched details.
- ✗Approaching an agent who promises guaranteed approval for a fee instead of applying at a bank or on the official portal.
Insider Tips for PM Mudra Yojana
- →Keep your Aadhaar, PAN, business proof and six months of bank statements ready before approaching the bank.
- →Pick the correct category (Shishu, Kishore, Tarun or Tarun Plus) for your loan amount so the application is processed under the right limit.
- →Apply directly at a registered Mudra lender or on the official udyamimitra.in portal — never pay anyone for approval.
- →Maintain a clean repayment record on any earlier Mudra loan, as it is what makes you eligible for higher Tarun Plus credit later.
Frequently Asked Questions — PM Mudra Yojana
📰 Latest News & Updates — PM Mudra Yojana
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