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 As the Pradhan Mantri MUDRA Yojana (PMMY) completes a decade since its launch on April 8, 2015, Prime Minister Narendra Modi marked the occasion by highlighting the scheme’s transformative impact on financial inclusion and grassroots entrepreneurship in India. According to the Prime Minister, over 52 crore loans worth ₹33 lakh crore have been disbursed under the scheme, making it a major success story in India’s developmental narrative. PM Modi described the scheme as an outcome of his extensive travels across the country as a "karyakarta" before taking office. He said that through these experiences, he identified a crucial gap in the financial architecture — a dire lack of access to credit for the poor, women, farmers, and marginalized communities, all of whom possessed the drive and ambition but were excluded from formal banking.

Speaking about the origins of the initiative, the Prime Minister reiterated the MUDRA scheme’s core objective — “funding the unfunded” — and emphasized its role in reshaping the country’s financial system. “This initiative came from a place of understanding that people had aspirations but were held back due to lack of access to credit,” he said. PM Modi added that MUDRA is not a standalone scheme, but part of a broader ecosystem created by his government to empower citizens at every level. The framework includes:

• Jan Dhan Yojana – “Banking the unbanked”
• MUDRA Yojana – “Funding the unfunded”
• Jan Suraksha schemes – “Insuring the uninsured”

He described this ecosystem as a people-centric financial architecture, which aims to recognize, support, and celebrate the entrepreneurial spirit and self-reliance of ordinary Indians.

Exceptional Performance with Low NPA Rate
One of the most notable achievements of the MUDRA scheme, PM Modi emphasized, is its exceptionally low Non-Performing Asset (NPA) rate of just 3.5%. He contrasted this with the “phone banking” culture of previous administrations, particularly under the Congress-led UPA government, where loans were allegedly sanctioned based on political influence rather than creditworthiness. “The banking sector under the UPA suffered from lack of transparency and rampant favoritism. This led to toxic assets and weakened banks. In contrast, MUDRA has empowered small-scale entrepreneurs who lacked connections but had competence and conviction,” PM Modi said. He recalled that when the scheme was launched, skeptics, including several Congress leaders, doubted its viability, predicting a flood of bad loans. “But the poor and middle class proved them wrong. They showed unmatched discipline and commitment, and today we have an NPA rate lower than global averages for this segment,” he stated.

Empowerment Through Trust and Inclusion
The Prime Minister stressed that the success of MUDRA Yojana lies in the trust his government placed in common citizens. “We told every Indian: we believe in you. And they responded by making the scheme a massive success,” he said, noting that the 52 crore loan accounts reflect a democratic spread of financial empowerment across the country. He reiterated that MUDRA loans were not just about financial support but about sending a message of trust, enabling millions to chase their entrepreneurial dreams with dignity. The scheme covers micro and small businesses through three types of loans:

• Shishu (up to ₹50,000)
• Kishore (₹50,000 to ₹5 lakh)
• Tarun (₹5 lakh to ₹10 lakh)

Each category is tailored to different stages of business development, helping enterprises grow sustainably.
PM Modi also noted that the democratization of finance through MUDRA is helping shift the economic narrative from being top-down to bottom-up. “Rather than funneling money into the hands of a few elite borrowers, MUDRA has put resources directly in the hands of millions of small entrepreneurs,” he explained.

As MUDRA completes its tenth year, the Prime Minister affirmed that the scheme will continue to be central to his government’s mission to build an Atmanirbhar Bharat (self-reliant India). “It’s not just about credit—it’s about confidence, capability, and community,” he remarked. With the growing emphasis on job creation, digital finance, and local entrepreneurship, MUDRA is poised to remain a key policy tool for inclusive economic growth. PM Modi concluded his remarks with optimism, saying that the scheme’s success over the past decade is just the beginning. “India’s poor, farmers, women, and youth have shown that with a little support, they can achieve greatness. MUDRA is proof of that potential,” he said. The Prime Minister’s reflections, posted on his official X handle, also included a link to his interview with the Economic Times, in which he elaborates further on the impact and future of the MUDRA Yojana.