News Brief
'Tarun Plus’ Loan Category Introduced Under MUDRA Scheme, Offering Loans Up To Rs 20 Lakh For Entrepreneurs
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The Union Finance Ministry’s Department of Financial Services (DFS) has created a ‘Tarun Plus’ category within the Mudra Scheme, aimed at boosting entrepreneurship across India.
This new initiative offers loans from Rs 10 lakh to Rs 20 lakh for entrepreneurs who have repaid their Tarun Loans.
In line with the Union Budget, the Finance Ministry implemented Finance Minister Nirmala Sitharaman’s announcement to raise the Mudra Scheme loan cap, now allowing loans of up to Rs 20 lakh, compared to the previous Rs 10 lakh limit.
“As a part of budget announcement by Finance Minister on a major boost to Mudra loans under the #PMMY in Union Budget 2024-25! The limit is now enhanced from ₹ 10 lakh to ₹20 lakh, empowering entrepreneurs for growth.#FundingTheUnfunded@FinMinIndia," the DFS said in a post on X.
In another post, the DFS said, “The new ‘Tarun Plus’ category has been created under #Mudrascheme and will offer loans above ₹ 10 lakh upto ₹ 20 lakh for entrepreneurs who have repaid their Tarun loans. Government’s commitment to a robust entrepreneurial ecosystem continues!”.
“Great news for small business owners! The guarantee coverage for #PMMY loans upto ₹ 20 lakh will now fall under the Credit Guarantee Fund for Micro Units (CGFMU). Supporting dreams, one step at a time #Entrepreneurship," said DFS in a post on X.
The Pradhan Mantri Mudra Yojana (PMMY) offers Mudra loans as collateral-free and third-party guarantee-free financial assistance up to Rs 20 lakh.
The Mudra Scheme’s funding levels—‘Shishu,’ ‘Kishor,’ ‘Tarun,’ and the latest ‘Tarun Plus’—symbolise different stages of growth and funding needs, serving as benchmarks for each micro unit or entrepreneur’s development and next stage of expansion.
