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The scheme was launched to encourage small businesses, and banks were asked to provide collateral-free loans up to ₹10 lakh under three categories Shishu (up to ₹50,000), Kishore (between ₹50,000 and ₹5 lakh) and Tarun ( ₹10 lakh).

Bhagwatk karadPradhan mantriNarendra modiNirmala sitharamanPrime minister narendra modiFinance bhagwatMudra yojanaFinance ministryNew delhiPradhan mantri mudra yojanaMicro creditCollateral freeNon corporateNon farmSmall and micro entrepreneursIncome generating activities