The Pradhan Mantri Mudra Yojana or PMMY that provides institutional finance to small businesses has helped in the creation of as many as 5.5 crore jobs as per a report. The prime beneficiaries of the scheme have been industrialized states.
The report cited that states including Tamil Nadu, Maharashtra and Karnataka have been at the biggest advantage due to the scheme. The scheme led by the Narendra- Modi government was introduced in April 2015 to solve the financing woes of the unfunded businesses. Under the scheme, a total of Rs 3.42 lakh crore has been financed to more than 8 crore individuals that mostly include small entrepreneurs.
The scheme has mostly catered to individuals who previously were not involved in any business. The activities associated with agriculture such as poultry, dairy, bee-keeping are covered. Plus for non-agriculture activities, a loan of up to Rs. 10 lakh is available under the MUDRA scheme of the government.