Banks sanction Rs 15L cr under PMMY

New Delhi: THE Finance Ministry on Wednesday said banks and financial institutions have sanctioned Rs 14.96 lakh crore to over 28.68 crore beneficiaries in the last six years. Pradhan Mantri MUDRA Yojana (PMMY) was launched by Prime Minister Narendra Modi on April 8, 2015 to promote entrepreneurship. Ministry of Finance is committed to provide financial inclusiveness and support to the marginalised and hitherto socio-economically neglected classes.

"Financial needs of all stakeholders ranging from the budding entrepreneurs to the hard-working farmers been catered to through various initiatives. A key initiative towards this is PMMY, which has given wings to the dreams and aspirations of millions, along with a feeling of self-worth and independence," Finance Ministry said in a statement. It further said that 4.20 crore PMMY loans were sanctioned in 2020-21, and Rs 2.66 lakh crore was allocated in 2020-21 as on March 19, 2021. The average ticket size of the loans is about Rs 52,000, it said.

Under PMMY collateral free loans of up to Rs 10 Lakh are extended by Member Lending Institutions (MLIs) viz scheduled commercial banks, Regional Rural Banks (RRBs), Small Finance Banks (SFBs), Non-Banking Financial Companies (NBFCs), Micro Finance Institutions (MFIs) etc.