PM Mudra Yojana
Collateral-free business loans up to ₹20 lakh for micro enterprises, in four slabs.
| Slab | Loan amount |
|---|---|
| Shishu | Up to ₹50,000 |
| Kishore | ₹50,000–₹5 lakh |
| Tarun | ₹5 lakh–₹10 lakh |
| Tarun PlusOnly if you have taken and fully repaid an earlier Tarun loan. | ₹10 lakh–₹20 lakh |
- No collateral and no third-party guarantee (covered by the Credit Guarantee Fund for Micro Units).
- For new or existing non-farm micro businesses in manufacturing, trading and services, and allied farm activities such as dairy, poultry and beekeeping.
- Given by public and private banks, RRBs, small finance banks, NBFCs and MFIs. Apply at a branch or on the JanSamarth portal.
- No subsidy. Interest rate is set by the bank (linked to its lending rate).
Mudra loan calculator
| Your contribution (typical) | ₹50,000 |
| Loan | ₹4,50,000 |
| Mudra slab | Kishore |
| EMI at 10.5% | ₹10,492 |
EMI over 5 years including a 6-month moratorium. Your bank sets the actual rate and terms.
How to apply
- Pick the business and make a project report with real machinery quotations.
- Get Udyam registration (free) and keep Aadhaar, PAN, address proof, photos and bank statements ready.
- Apply at a bank branch, or online on the JanSamarth portal. See mudra.org.in for lenders.
- The bank checks the report, your credit history and the business site, then sanctions the loan.
Businesses and their loan amounts
Rules as of October 2026.