Gujarat govt disburses Rs70,000 crore in loans in five years under PM Mudra Yojana

GANDHINAGAR : Between 2020-21 and 2024-25 financial years (up to November 2024), a total of Rs70,051 crore in loans has been disbursed under the Pradhan Mantri Mudra Yojana in Gujarat, said the State government in a press release.

To facilitate easy access to institutional credit for the country’s micro, small, and medium enterprises, the Pradhan Mantri Mudra Yojana was launched on 8 April 2015 under the leadership of Prime Minister Narendra Modi. The scheme is designed to empower small traders, emerging startups, and aspiring entrepreneurs by extending financial assistance to help them expand their ventures. In Gujarat, the scheme has been implemented extensively, said the State government.

During an interaction with beneficiaries of the PM Mudra Yojana on Tuesday, Prime Minister Narendra Modi stated that over the past ten years, the scheme has sanctioned collateral-free loans worth more than Rs33 lakh crore, fostering social inclusion and economic independence.

In Gujarat, the number of accounts rose from 1.42 crore in 2020-21 to 1.95 crore by 2023-24. Notably, 80.5 lakh new accounts were opened in the current financial year up to November 2024.

Under the PM Mudra Yojana, loan sanctions in Gujarat rose from Rs11,239 crore in 2020-21 to Rs19,607 crore in 2023-24, reflecting a substantial 74% increase over four years. In the current financial year 2024-25, loans amounting to Rs9,708 crore have already been disbursed up to November 2024.

As per a NITI Aayog report assessing the impact of PM Mudra Yojana, the scheme has generated over 11.10 crore jobs nationwide in the ten years since its launch. Significantly, 47% of these employment opportunities have benefited individuals from SC, ST, and OBC communities, with most jobs created in the manufacturing, trading, and service sectors.

Launched in April 2015, the PM Mudra Yojana aims to provide hassle-free, collateral-free loans to individuals for launching or expanding their businesses. The scheme offers loans through banks and financial institutions in four categories: Shishu (up to Rs50,000), Kishore (Rs50,000 to Rs5 lakh), Tarun (Rs5 lakh to Rs10 lakh), and the newly introduced Tarun Plus (Rs10 lakh to Rs20 lakh). In Gujarat, countless small traders and startups have utilised the scheme to become self-reliant and scale their enterprises. (ANI)