Loan Limit under Pradhan Mantri Mudra Yojana (PMMY) Increased to ₹20 Lakh

The loan limit under the Pradhan Mantri Mudra Yojana (PMMY) has been increased from the current ₹10 lakh to ₹20 lakh. This enhancement aims to further the overall objective of the Mudra Scheme, which is "Funding the Unfunded." The initiative is particularly beneficial for emerging entrepreneurs, facilitating their growth and expansion. This step aligns with the government's commitment to fostering a robust entrepreneurial ecosystem.

According to the notification issued, the new category 'Tarun Plus' is designated for loans above ₹10 lakh and up to ₹20 lakh. This category will be available to entrepreneurs who have previously availed and successfully repaid loans under the Tarun category. The PMMY loans up to ₹20 lakh will be covered under the Credit Guarantee Fund for Micro Units (CGFMU).