Union Coal and Mines Minister and BJP Telangana president G. Kishan Reddy on Wednesday, 24 June 2026 highlighted the performance of the Pradhan Mantri Mudra Yojana (PMMY) in Hyderabad and Secunderabad, citing 1,19,771 loans sanctioned and nearly ₹3,139 crore disbursed in the region during Financial Year 2025–26.

Context

Reddy's post underscores the reach of PMMY in Telangana's twin cities, pointing to collateral-free credit flowing to small traders, service providers, and agri-allied enterprises including dairy, poultry, and beekeeping. He attributed the scheme's momentum to the leadership of Prime Minister Narendra Modi, framing the data as evidence of grassroots economic empowerment. The minister noted that the scheme is helping 'thousands transform ideas into opportunities and opportunities into sustainable livelihoods.'

Policy Backdrop

PMMY was launched on 8 April 2015 by the Ministry of Finance to extend institutional credit to non-farm micro enterprises that had historically been excluded from the formal banking system. The scheme operates across four tiers: Shishu (up to ₹50,000), Kishore (₹50,000 to ₹5 lakh), Tarun (₹5 lakh to ₹10 lakh), and Tarun Plus (up to ₹20 lakh for successful repeat borrowers). The Tarun Plus category, introduced in later years, is designed to reward creditworthy micro-entrepreneurs and encourage business scaling. PMMY sits within a broader post-2014 financial inclusion architecture that includes Jan Dhan accounts, direct benefit transfers, and credit guarantee mechanisms for MSMEs. Successive Union Budgets have progressively raised loan ceilings and widened eligible activity categories to cover agri-allied and service-sector livelihoods. The scheme's integration with the Atmanirbhar Bharat programme — launched in 2020 — has further positioned Mudra lending as a tool for domestic entrepreneurship and self-reliance.

Stakeholders and Impact

The primary beneficiaries in Hyderabad and Secunderabad span a wide economic cross-section: street vendors, small retailers, artisans, and first-generation entrepreneurs in agri-allied sectors. Collateral-free access is particularly significant for borrowers who lack property titles or credit histories, groups that have traditionally been shut out of formal lending channels. In Telangana, BJP leaders have consistently cited PMMY outcomes to illustrate the on-ground delivery of central welfare programmes, and Reddy's post continues that pattern ahead of what is expected to be a politically active budget season.

What's Next

The Department of Financial Services is expected to publish its next annual PMMY performance report covering national disbursement data, which will allow independent assessment of the figures cited for FY 2025–26. Any revision to scheme loan limits or the introduction of interest subvention provisions in the Union Budget 2026–27 could further expand the programme's reach. For Hyderabad and Secunderabad, the focus will be on whether the current pace of sanctions translates into measurable improvements in self-employment rates and micro-enterprise survival.