PMMY Mudra Loan Categories (2026)
Pradhan Mantri MUDRA Yojana (PMMY) provides micro-business credit without requiring security collateral:
| Category | Loan Amount | Target Business Stage |
|---|---|---|
| Shishu | Up to ₹50,000 | Startups & micro vendors |
| Kishore | ₹50,001 to ₹5 Lakhs | Growing small businesses |
| Tarun | ₹5 Lakhs to ₹10 Lakhs | Established business expansion |
PMMY Mudra Loan Categories (Shishu, Kishore, Tarun)
- Shishu: Collateral-free micro loans up to ₹50,000 for small vendors and startups.
- Kishore: Business expansion loans from ₹50,000 up to ₹5 Lakhs.
- Tarun: Scale-up business loans from ₹5 Lakhs up to ₹10 Lakhs (and expanded ₹20L under 2026 scheme).
No Collateral Security Requirement
- CGTMSE Coverage: Pradhan Mantri MUDRA Yojana loans are guaranteed by CGTMSE credit protection. Banks cannot demand third-party collateral or land assets.
- Repayment Tenure: Flexible repayment terms ranging from 3 to 5 years with nominal processing fees.
Mudra Loan Application Tip
Maintain a clean Udyam Registration Certificate and 12-month GST filing record to speed up Mudra loan approval at PSU bank branches.