Executive Summary:
This document presents the Ministry of Finance's response to Lok Sabha Unstarred Question No. 1201 regarding Non-Performing Assets (NPAs) under the Pradhan Mantri MUDRA Yojana (PMMY) loans in Maharashtra. It provides data on loan distribution to marginalized communities since 2015, reasons for loan rejections, grievance redressal mechanisms, NPA recovery efforts, and capacity-building programs. The data is current as of June 2025, with financial year 2025-26 data labelled as provisional.
Key Points / Main Content:
* **PMMY Loan Distribution in Maharashtra:**
* As of June 2025, over 4.29 crore loan accounts have been sanctioned under PMMY in Maharashtra.
* Annexure I provides the year-wise distribution of loans to Scheduled Castes (SC), Scheduled Tribes (ST), Other Backward Classes (OBC), and Women entrepreneurs since 2015.
* From 2015 to June 2025, 59.65 lakh loans were given to SC, 27.22 lakh to ST, 120.13 lakh to OBC and 338.35 lakh to women entrepreneurs.
* **Loan Application Rejection Reasons:**
* Reasons for rejecting PMMY loan applications include:
* Non-viability of the project.
* Inconsistencies during pre-sanction (e.g., KYC non-compliance, borrower not found at address).
* Unsatisfactory credit history (e.g., poor CIBIL score, previous NPA history).
* Non-availability of necessary registration approvals.
* **Grievance Redressal Mechanism:**
* The name of the official to approach for grievances is displayed at the branch.
* Unresolved complaints are escalated to higher levels within the bank, with a final response within 30 days.
* Complainants can also approach the Regional Manager, Zonal Manager, or Principal Nodal Officer (PNO).
* **Non-Performing Assets (NPAs) and Recovery:**
* State-wise NPA details are not maintained centrally.
* Recovery efforts include:
* Constant follow-up and increased customer contact.
* Restructuring of eligible accounts.
* One Time Settlement (OTS).
* **Capacity Building Programs:**
* Banks in Maharashtra conducted capacity-building programs through 1,352 Rural Self Employment Training Institutes (RSETIs) in FY 2024-25.
* 5,738 Financial Literacy Camps (FLCs) were conducted by banks across the state during FY 2024-25.
Impact Analysis:
* **Marginalized Communities (SC, ST, OBC, Women Entrepreneurs):**
* Impact: Provides information on loan access under PMMY, potentially informing future access and success.
* Action Required: Utilize available grievance redressal mechanisms if facing issues with loan applications or recovery.
* **Banks and Financial Institutions:**
* Impact: Highlights the need to adhere to guidelines for loan disbursement, address grievances, and manage NPAs through specified recovery efforts.
* Action Required: Continue conducting capacity-building programs and financial literacy camps. Ensure effective grievance redressal mechanisms are in place. Implement specified NPA recovery measures.
* **Government (Ministry of Finance):**
* Impact: Provides data for monitoring PMMY's effectiveness in Maharashtra, specifically regarding loan access for marginalized communities and NPA management.
* Action Required: Use the provided data to refine PMMY implementation, address identified gaps, and improve NPA management strategies.
Key Entities Referenced
Maharashtra: A state in India, focus of PMMY loan analysis.
Pradhan Mantri MUDRA Yojana (PMMY): A government scheme providing loans to micro and small enterprises.
Non-Performing Assets (NPAs): Loans where the borrower has not made interest or principal payments for a specified period.
Ministry of Finance: The government ministry responsible for financial matters.
SCSTOBC: Scheduled Castes, Scheduled Tribes, Other Backward Classes - categories representing marginalized communities in India.
Rural Self Employment Training Institute (RSETI): An institute conducting capacity building programmes.
Financial Literacy Camps (FLCs): Camps conducted by banks to promote financial literacy.
Pankaj Chaudhary: Minister of State in the Ministry of Finance.
Government of India
Ministry of Finance
Department of Financial services
LOK SABHA
UNSTARRED QUESTION NO. 1201
ANSWERED ON MONDAY, JULY 28, 2025/SRAVANA 6, 1947 (SAKA)
NPA UNDER PMMY LOANS IN MAHARASHTRA
1201. Dr. Amol Ramsing Kolhe:
Shri Sanjay Dina Patil:
Smt. Supriya Sule:
Shri Mohite Patil Dhairyasheel Rajsinh:
Shri Bhaskar Murlidhar Bhagare:
Prof. Varsha Eknath Gaikwad:
Will the Minister of FINANCE be pleased to state:
(a) whether the Government has identified any gaps in loan coverage among marginalized
communities in Maharashtra and if so, the total number of SC/ST/OBC and Women
entrepreneurs who have availed loans under Pradhan Mantri MUDRA Yojana (PMMY) in
Maharashtra since 2015, year-wise;
(b) the number of loan applications received, sanctioned and rejected under each category in
Maharashtra during the last three years;
(c) the reasons cited for rejections and whether there is a grievance redressal mechanism for
applicants in the State;
(d) the details of Non-Performing Assets (NPAs) under PMMY loans from Maharashtra during the
last five years along with the total amount classified as NPAs and the recovery efforts initiated
by banks and financial institutions; and
(e) whether the Government has conducted any capacity-building programmes or entrepreneurship
development training linked to PMMY in Maharashtra and if so, the details of such programmes
and the number of beneficiaries covered?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI PANKAJ CHAUDHARY)
(a) and (b): As on June, 2025, more than 4.29 crore loan accounts have been sanctioned under Pradhan
Mantri Mudra Yojana (PMMY) in the state of Maharashtra.The total number of SC/ST/OBC and Women entrepreneurs who have availed loans under PMMY in
Maharashtra since 2015, year-wise is placed at Annexure-I.
The number of applications received and rejected under the Scheme is not maintained centrally.
(c): Reasons for rejection of loan applications under PMMY include:
Non-viability of the project.;
Inconsistencies found in pre-sanction stage e.g. Non-compliance of KYC norms, borrower
not found at the mentioned address etc.;
Unsatisfactory credit history of the borrower e.g., poor CIBIL score, previous NPA history
etc.;
Non-availability of necessary registration/ approvals, wherever required, related to the project
etc.
Further, the name of the official is displayed in the branch premises to whom complainant may
approach if he/she has any grievance. If the complaint is unresolved at the branch level, it is escalated
to the next higher level of grievance redressal authority within the Bank and a final response is given
within 30 days. Complainant may also approach the Regional Manager/ Zonal Manager / Principal
Nodal Officer (PNO) at the address displayed at the branch.
(d) Details of State-wise NPA is not maintained centrally. The steps taken by banks for recovery of
NPA under PMMY include:
constant follow up and increased frequency of customer connect;
restructuring of eligible accounts and One Time Settlement (OTS).
(e) Banks in Maharashtra have conducted capacity- building programmes through 1,352 Rural Self
Employment Training Institute (RSETI) during FY 2024-25. These include a series of credit-linked
training programmes. Additionally, 5,738 Financial Literacy Camps (FLCs) have been conducted by
Banks across the State during FY 2024-25.
*****Annexure I for Part (a) and (b) of Lok Sabha Unstarred Question No. 1201 regarding
“NPA under PMMY Loans in Maharashtra” for answer on 28.07.2025
No. of Loan Accounts
(in Lakh)
S. No. Financial Year SC ST OBC Women Entrepreneurs
1 2015-16 5.86 2.68 11.41 29.40
2 2016-17 5.79 2.20 12.51 27.48
3 2017-18 5.65 2.13 10.65 28.53
4 2018-19 6.11 2.40 10.68 31.89
5 2019-20 6.08 2.61 11.40 34.79
6 2020-21 5.17 2.33 10.24 29.58
7 2021-22 5.88 2.81 11.52 35.89
8 2022-23 6.35 3.39 14.46 43.50
9 2023-24 6.78 3.50 13.48 40.97
10 2024-25 5.72 3.01 12.59 33.70
11 2025-26* 0.26 0.16 1.20 2.63
Total 59.65 27.22 120.13 338.35
*Provisional (as on June, 2025)
Source: As per data uploaded by Member Lending Institutions
*****