PM Mudra Yojana Loan Limit Increased to 20 Lakh

Pradhan Mantri Mudra Yojana helps small business owners in India by offering loans without needing collateral. On October 24, 2024, the government raised the maximum loan limit to 20 lakh. This change adds a new category called Tarun Plus, for people who already finished paying back their earlier Tarun-category loans.

Loan Categories and Application

This scheme now has four parts: Shishu (up to 50,000), Kishor (above 50,000 up to 5 lakh), Tarun (above 5 lakh up to 10 lakh), and the new Tarun Plus (above 10 lakh up to 20 lakh). These loans help with manufacturing, trading, services, and farm-related work like dairy or poultry.

Official records show that by March 27, 2026, over 57 crore loan accounts were opened, with a total of 40.07 lakh crore given out. Even though the loan is collateral-free, banks still check your business plan and how well you can pay the money back. You can apply at banks, NBFCs, or the Jan Samarth portal. For more, look at the Pradhan Mantri Mudra Yojana (PMMY) 2026 Online Application Form / Download PDF.