PMMY Assisting Aspiring Entrepreneurs in Varanasi to Secure Business Loans

Varanasi, April 7 (NationPress) The Pradhan Mantri Mudra Yojana (PMMY) is about to mark its tenth anniversary on April 8, having significantly changed the lives of numerous individuals across the nation, including many in Prime Minister Narendra Modi's parliamentary area, Varanasi. This initiative has served as a beacon of hope for aspiring entrepreneurs, particularly the youth, by offering straightforward access to credit for small businesses.

IANS spoke with various beneficiaries in Varanasi who recounted how the PMMY has favorably influenced their lives.

Dilip Rathore, a local entrepreneur, reminisced: "I approached the bank for a Mudra loan around April 2024. We aimed to launch a new business and required some capital. After finalizing the paperwork, I successfully obtained a loan in my name."

He stressed the importance of the scheme, stating: "The primary requirement for initiating a business is funding. This scheme has been extremely advantageous for us. Without its inception, small business owners like us would have faced difficulties in acquiring financial assistance. I received a loan of Rs 8 lakh through the PMMY, which is significantly less expensive than loans from private banks."

Another beneficiary, Abhishek Upadhyay, shared his journey. "It has been two years since I secured a loan from the PMMY. The process was uncomplicated, and I received the funds within a day. I utilized the money to establish a mobile business. I urge others to apply too, as the documentation is minimal, and it’s a fantastic opportunity for those in need."

Vishal Gupta, who also benefited from the initiative, mentioned: "I acquired a loan of Rs 10 lakh from the PMMY to launch a cyber shop. When I was unable to obtain a loan elsewhere, the PMMY became my lifeline. Thanks to the loan, I could buy printer machines and set up my business. I am profoundly thankful to PM Modi for this initiative, which has been a game-changer for many like me."

As the PMMY approaches its 10th anniversary on April 8, it has facilitated over 52 crore loans, revolutionizing the entrepreneurial scene across India. The scheme categorizes loans into three groups: Shishu (up to Rs 50,000), Kishore (above Rs 50,000 and up to Rs 5 lakh), and Tarun (above Rs 5 lakh and up to Rs 10 lakh). The newly introduced Tarun Plus category offers loans ranging from Rs 10 lakh to Rs 20 lakh for beneficiaries who have successfully repaid previous loans.

Launched on April 8, 2015, the PMMY has been crucial in empowering non-corporate, non-farm small and micro enterprises. Notably, women make up 68 percent of all Mudra beneficiaries, underscoring the scheme's role in promoting women-led enterprises. The program has significantly enhanced employment generation, especially through women-led MSMEs, emphasizing the importance of financial inclusion in boosting economic empowerment and labor force participation.

Finance Minister Nirmala Sitharaman announced an increase in the loan limit to Rs 20 lakh during the Union Budget 2024-25, effective from October 24, 2024, further bolstering support for entrepreneurs.