Empowering Women Entrepreneurs: The PM Mudra Scheme Explained
Introduction to the PM Mudra Scheme
New Delhi/Yapur, March 8, 2026: Are you a woman entrepreneur looking to launch your own business but facing challenges due to lack of funds? Worry no more! The central government’s Prime Minister Mudra Yojana (PMMY) offers a fantastic opportunity for women to become self-reliant by providing loans without any collateral. This initiative prioritizes women's empowerment and has already assisted millions in starting or expanding their businesses.
What is the Prime Minister Mudra Yojana?
Launched in 2015, this scheme provides loans to non-corporate, non-agricultural small and micro enterprises without the need for guarantees. To date, over 520 million loans have been approved, amounting to more than 32 trillion rupees. Notably, 68-70% of the beneficiaries are women, showcasing a significant stride in women's empowerment.
Loan Categories for Women
How much and how can women access loans?
- Shishu category: Up to ₹50,000 (ideal for new businesses)
- Kishore category: From ₹50,001 to ₹500,000
- Tarun category: From ₹500,000 to ₹1,000,000
- Tarun Plus category: From ₹1,000,000 to ₹2,000,000 (for those who have successfully repaid previous loans)
These loans are completely collateral-free, with low-interest rates and a preference for women. The scheme supports various non-agricultural businesses, including small shops, salons, tutoring services, handicrafts, grocery stores, beauty parlors, and food stalls.
Benefits and Statistics for Women (2025-2026 Update)
Key benefits include:
- Women's participation has reached 68-71%.
- Significant growth in average loan amounts per woman—13% CAGR from FY16 to FY25.
- The scheme has generated over 1 million jobs, with substantial contributions from women.
- States like Bihar, Uttar Pradesh, and Rajasthan have seen the highest benefits for women.
How to Apply?
Steps to apply:
- Visit the nearest bank (such as SBI, PNB, Bank of Baroda), NBFC, MFI, or regional rural bank.
- For more information, visit mudra.org.in or apply through the Udyamimitra portal.
- Required documents include Aadhaar, PAN, business plan, bank statement, and a photo.
- Women receive priority, making the approval process easier.