Easy Loan Yojana 2025: Pradhan Mantri Mudra Yojana (PMMY) Benefits & Application

Easy Loan Yojana: Your Guide to Pradhan Mantri Mudra Yojana (PMMY) 2025

What is Easy Loan Yojana?

The term Easy Loan Yojana popularly refers to the Pradhan Mantri Mudra Yojana (PMMY), a flagship government scheme launched on April 8, 2015, by Prime Minister Narendra Modi. Administered by the Micro Units Development and Refinance Agency (MUDRA), PMMY provides collateral-free loans up to ₹10 lakh to non-corporate, non-farm micro and small enterprises. Designed to promote financial inclusion and entrepreneurship, this MSME loan scheme supports millions of small businesses, shopkeepers, artisans, and vendors. As of 2025, PMMY has disbursed over ₹43,015.68 crore, empowering small business support across India.

Key Features of Easy Loan Yojana (PMMY)

• Collateral-Free Loans: No need for assets or third-party guarantees, making loans accessible.
• Loan Categories: Three tiers—Shishu (up to ₹50,000), Kishore (₹50,001–₹5 lakh), and Tarun (₹5,00,001–₹10 lakh)—based on business growth stage.
• Wide Reach: Available through banks, NBFCs, RRBs, Small Finance Banks, and MFIs.
• Flexible Use: Funds for manufacturing, trading, services, or allied agricultural activities like poultry or beekeeping.
• Online Application: Apply via the Udyami Mitra portal (udyamimitra.in) for seamless processing.
• No Processing Fees for Shishu: Most banks waive upfront fees for loans up to ₹50,000.

Key Features of Easy Loan Yojana (PMMY)

• Collateral-Free Loans: No need for assets or third-party guarantees, making loans accessible.
• Loan Categories: Three tiers—Shishu (up to ₹50,000), Kishore (₹50,001–₹5 lakh), and Tarun (₹5,00,001–₹10 lakh)—based on business growth stage.
• Wide Reach: Available through banks, NBFCs, RRBs, Small Finance Banks, and MFIs.
• Flexible Use: Funds for manufacturing, trading, services, or allied agricultural activities like poultry or beekeeping.
• Online Application: Apply via the Udyami Mitra portal for seamless processing.
• No Processing Fees for Shishu: Most banks waive upfront fees for loans up to ₹50,000.

Benefits of Easy Loan Yojana

The Pradhan Mantri Mudra Yojana offers transformative advantages for aspiring entrepreneurs:

• Financial Inclusion: Empowers underserved groups, including women, SC/ST, and rural entrepreneurs.
• Job Creation: Supports micro-enterprises, generating employment in urban and rural areas.
• Affordable Credit: Low interest rates (starting at 7–12% p.a., varying by lender) with flexible repayment terms up to 7 years.
• Women Empowerment: Special focus on women entrepreneurs through relaxed terms and priority lending.
• Digital Access: Online applications and tracking streamline the process.
• Scalable Funding: Loans cater to startups (Shishu) and growing businesses (Tarun), fostering business expansion.

Eligibility for Easy Loan Yojana (PMMY)

To qualify for PMMY, applicants must meet the following criteria:

• Indian citizens operating non-corporate, non-farm micro/small enterprises.
• Engaged in manufacturing, trading, services, or allied agricultural activities.
• No history of default with any bank or financial institution.
• Business types include proprietorships, partnerships, private/public companies, or other legal entities.
• No specific educational or age requirements, making it inclusive for micro-enterprise funding.

How to Apply for Easy Loan Yojana

Applying for a Mudra loan under PMMY is simple and can be done online or offline:

1. Visit a nearby bank, NBFC, or MFI, or apply online at udyamimitra.in or jansamarth.in.
2. Select the loan category: Shishu, Kishore, or Tarun.
3. Fill out the application form with business details, such as name, activity, and industry type (manufacturing, trading, services).
4. Submit documents: Aadhaar, PAN, address proof, business proof, applicant photo, and bank statements.
5. Provide additional details like existing credit facilities, proposed loan amount, and future estimates.
6. Receive an application number for tracking after submission.
7. Upon approval, the loan is disbursed to the applicant’s bank account.

For projects above ₹2 lakh, submit a project report and projected balance sheets. Contact the MUDRA helpline at 1800-11-0001 for assistance.

Recent Updates (2025)

In 2025, PMMY continues to drive MSME growth with enhanced digital integration:

• Digital Approvals: The JanSamarth portal now offers faster loan approvals with real-time eligibility checks.
• [](https://www.jansamarth.in/business-loan-pradhan-mantri-mudra-yojana-scheme)
• Increased Outreach: Over 12 nodal banks, including SBI, BoB, and Canara Bank, expand access in rural areas.
• [](https://cleartax.in/s/msme-loan-scheme-2020)
• Women-Centric Focus: Enhanced incentives for women entrepreneurs, with 68% of Mudra loans disbursed to women as of 2024.
• Interest Rate Reductions: Following RBI’s repo rate cut to 6% in April 2025, some banks offer Mudra loans at lower rates.
• [](https://www.ujjivansfb.in/banking-blogs/borrow/complete-list-of-government-msme-loan-schemes)

Impact of Easy Loan Yojana

Since its inception, PMMY has transformed India’s micro-enterprise landscape, sanctioning ₹45,267.60 crore in loans by 2024. It has supported over 63 crore beneficiaries, with a focus on women and marginalized communities, fostering job creation and economic growth. The scheme’s collateral-free model and digital platforms like Udyami Mitra ensure accessibility, making it a cornerstone of India’s financial inclusion efforts.

Why Choose Easy Loan Yojana?

The Pradhan Mantri Mudra Yojana, branded as Easy Loan Yojana, is a lifeline for small businesses, offering accessible, collateral-free funding to fuel entrepreneurship. With digital platforms, low interest rates, and a focus on women empowerment, it’s the ideal choice for aspiring entrepreneurs. Apply today to grow your business and contribute to India’s economic vision!