MUDRA: Rs. 1 lac crore more has to be lent |ForumIAS

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Banks have been struggling to meet the target for lending Mudra loans. The government, in Budget 2018-19, had said it intends to disburse loans of up to Rs 3 lakh crore in the current fiscal. However, as on February 22, the total loan disbursed under the Micro Units Development and Refinance Agency Ltd (Mudra) scheme stood at about 2 lakh crore.
Pradhan Mantri MUDRA Yojana (PMMY) was launched in 2015. It seeks to extend affordable credit to micro and small enterprises. Loans up to Rs.10 lakh are extended to non-corporate, non-farm enterprises. These loans are classified as MUDRA loans.
Loans under Mudra are given under different categories viz. ‘Shishu’, ‘Kishor’ and ‘Tarun’. These categories are based on the stage of growth or development and funding needs of the beneficiary.
Sishu covers loans up to Rs. 50,000. Kishore covers loans above Rs. 50,000- and up to 5 lakh. Tarun covers loans above Rs. 5 lakh and up to Rs.10 lakh