The Prime Minister Shri Narendra Modi on Wednesday launched the Micro Units Development and Refinance Agency Ltd. called as MUDRA Bank at a function at Vigyan Bhavan in the national capital.
During the launch, the Prime Minister said that MUDRA scheme is aimed at "funding the unfunded"
MUDRA Bank will be responsible for developing and refinancing through a Pradhan Mantri MUDRA Yojana.
All Micro-finance Institutions (MFIs) which are in the business of lending to micro / small business entities engaged in manufacturing, trading and service activities.
1) MUDRA Bank Stands for Micro Units Development and Refinance Agency (Mudra) Bank.
2) The primary product of MUDRA will be refinance for lending to micro businesses / units under the aegis of the Pradhan Mantri MUDRA Yojana.
3)The initial products and schemes under this umbrella have already been created and the interventions have been named as Shishu which will cover loans upto Rs. 50,000/-, Kishor covers loans above Rs. 50,000/- and upto Rs. 5 lakh, and Tarun will cover loans above Rs. 5 lakh and upto Rs. 10 lakh
4) MUDRA will also adopt a credit plus approach and take up interventions for development support across the entire spectrum of beneficiary segments.
5) Further, it will offer MUDRA Card, Portfolio Credit Guarantee and Credit Enhancement facility to its customers.
6) The Bank will partner with state level or regional level to provide finance to Last Mile Financer of small/micro business enterprises.