SBI: Pradhan Mantri MUDRA Yojana (PMMY) – Features, loan amounts, eligibility and conditions

SBI: Pradhan Mantri MUDRA Yojana (PMMY) – Features, loan amounts, eligibility and conditions

Pradhan Mantri MUDRA Yojana (PMMY) scheme was launched by Prime Minister Narendra Modi on April 8, 2015 for providing loans upto 10 lakh to the non-corporate, non-farm small/micro enterprises. These loans are classified as MUDRA loans under PMMY. These loans are given by Commercial Banks, RRBs, Small Finance Banks, Cooperative Banks, MFIs and NBFCs. The borrower can apply online through this portal (

Under the aegis of PMMY, MUDRA has created three products namely ‘Shishu’, ‘Kishore’ and ‘Tarun’ to signify the stage of growth / development and funding needs of the beneficiary micro unit / entrepreneur and also provide a reference point for the next phase of graduation / growth.


-Eligibility Criteria

Existing & New units


Nature of Facility : Working Capital and Term Loan

Purpose : Business purpose, capacity expansion, modernization

Target Group : Business Enterprises in Manufacturing, Trading and Services sector including allied agricultural activities.

Quantum of loan (Min/Max)

 Maximum loan amount : Upto Rs 10 lacs

Loans upto Rs.50,000 are categorised as SHISHU

Loans from Rs.50,001 to Rs.500,000 are categorised as KISHORE

Loans from Rs.500,001/- to Rs.10,00,000/- are categorised as TARUN

Margin (%)

Upto Rs. 50,000/- Nil
Rs. 50,001 to Rs. 10 lacs: 10%

Pricing : Competitive Pricing Linked to MCLR

Repayment Period
WC/TL: in 3 – 5 yrs including a moratorium of upto 6 months depending on the activity/ income generation.
Review of WC/TL to be done annually.

Processing Fee/Upfront Fee
Nil for Shishu and Kishore to MSE Units
For Tarun: 0.50%(plus applicable tax) of Loan amount


The loans under Mudra Scheme are guaranteed by Credit Guarantee for Micro Units (CGFMU) and the same is provided through National Credit Guarantee Trustee Company (NCGTC).

The guarantee cover is available for five years and hence for advances granted under Mudra Scheme the maximum period is 60 months.

Leads are now available in Udyami Mitra Portal ( Site can be accessed by Branches with Username and Password

All Branches to issue MUDRA RuPay Card for all the eligible CC accounts.