Consultancy By
MUDRA LOAN
(Scheme)
Brief background for introduction of MUDRA
LoanScheme by Govt. of India.
As per NSSO survey (2013), there are around 5.77 crore small/
micro units in the country, engaging around 12 crore people,
mostly individual proprietorship/Own Account Enterprises.
Over 60% of units are owned by persons belonging to Scheduled
Caste, Scheduled Tribe or Other Backward Classes. Most of these
units are outside the formal banking system, and hence are forced
to borrow from informal sources or use their limited owned funds.
MUDRA Loan Scheme has been proposed to bridge this gap.
MUDRA Loan Scheme will aim to increase the confidence of
the aspiring young person to become first generation entrepreneurs
as also of existing small businesses to expand their activities.
Brief details of the Product.
MUDRA loans are extended by banks, NBFCs, MFIs and other eligible
financial intermediaries as notified by MUDRA Ltd. The Pradhan
Mantri MUDRA Yojana (PMMY) announced by the Hon’ble Prime
Minister on 8th April 2015, envisages providing MUDRA loan, upto
10 lakh, to income generating micro enterprises engaged in
manufacturing, trading and services sectors.
The overdraft amount of 5000 sanctioned under PMJDY has been
also classified as MUDRA loans under Prime Minister MUDRA Yojana
(PMMY). The MUDRA loans are extended under following three
categories : Loans upto 50,000/- (Shishu) Loans from 50,001
to 5 lakh (Kishore) Loans from 5,00,001/- to 10 lakh (Tarun)
More focus would be given to Shishu. Accordingly, all advances
granted on or after 8th April 2015 falling under the above category
are classified as MUDRA loans under the PMMY. The application
forms for suchloans shall also carry the name
“Pradhan Mantri MUDRA Yojana”.
Brief details of the Product.
Individuals
Proprietary concern.
Partnership Firm.
Private Ltd. Company.
Public Company.
Any other legal forms.
The applicant should not be defaulter to any bank or financial
institution and should have a satisfactory credit track record.
The individual borrowers may be required to possess the
necessary skills/experience/ knowledge to undertake the
proposed activity. The need for educational qualification,
if any, need to be assessed based on the nature of the proposed
activity, and its requirement.
Interest Rate
Interest rates are to be charged as per the policy decision of the
bank. However, the interest rate charged to ultimate borrowers
shall be reasonable. Scheduled Commercial Banks, RRBs and
Cooperative Banks wishing to avail of refinance from MUDRA
will have to peg their interest rates, as advised by MUDRA Ltd.
from time to time.
