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Government of India
Ministry of Finance
Department of Financial services
LOK SABHA
UNSTARRED QUESTION NO. 2323
ANSWERED ON MONDAY, DECEMBER 15, 2025/ AGRAHAYANA 24, 1947 (SAKA)
Pradhan Mantri Mudra Yojana (PMMY)
2323. SHRI MALAIYARASAN D:
Will the Minister of FINANCE be pleased to state:
(a) whether the Government has evaluated the actual impact of the Pradhan Mantri Mudra Yojana
(PMMY) on employment generation, especially among first-time entrepreneurs;
(b) if so, the details of such evaluation along with State-wise and category-wise (Shishu, Kishor,
Tarun) data on the number of beneficiaries from Tamil Nadu during the last five years;
(c) whether instances of high Non-Performing Assets (NPAs) have been reported under Mudra loans,
particularly from public sector banks;
(d) if so, the details thereof and the steps taken to strengthen credit appraisal and recovery
mechanisms; and
(e) whether the Government proposes to review or restructure the scheme in light of concerns about
loan utilisation, repayment capacity and monitoring and if so, the details thereof?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI PANKAJ CHAUDHARY)
a) and (b): Ministry of Labour and Employment (MoLE) had conducted a large sample survey at the
national level to estimate employment generation under PMMY.
As per the survey results, PMMY helped in generation of 1.12 crore net additional employment during
a period of approximately 3 years (i.e. from 2015 to 2018).
The state and category-wise (Shishu, Kishor, Tarun & Tarun Plus) data on the number of beneficiaries
(loans) for the last five years, including Tamil Nadu, is placed at Annexure.
(c) to (e): PMMY mainly caters to those segment of the society which have been outside the formal
credit system because of lack of collaterals, business experience etc. The NPA rate under PMMY for
Public Sector Banks (PSBs), as on June, 2025, is 3.31% (against the disbursed amount). This is mainlybecause the loans under the scheme are collateral free and are often provided to new business
entrepreneurs who may lack business experience and expertise.
The monitoring mechanisms adopted by the Government to ensure effective sanctioning and
utilisation of loans disbursed by Member Lending Institutions (MLIs) under Pradhan Mantri Mudra
Yojana (PMMY) include setting of annual indicative targets and periodic reviews of the performance.
In addition, lenders undertake:
i. pre-sanction field visits to verify details as provided in the loan applications by the borrowers
and post-sanction visits for verification of assets created out of the loan amount;
ii. collection of stock statement of the Unit of the borrower and its periodic verification for fixing
Drawing Power (DP) for working capital for a particular period;
iii. periodic monitoring of cash flow data to analyse from where the Unit receives its money (cash
inflow) and how it spends (cash outflow);
iv. monitoring of early warning signals (EWS) which throw up alerts for MLIs; and
v. constant follow up and increased frequency of customer connects.
*****Annexure
Annexure for part (a) and (b) of Lok Sabha Unstarred Question No. 2323 for 15.12.2025 regarding
"Pradhan Mantri Mudra Yojana"
Statewise ( for last five years (From FY 2020-21 To 2024-25))
No. of Loan A/cs
S.No. State/ U.T. Name Shishu Kishor Tarun Tarun Plus
1 Andaman and Nicobar Islands 4,202 8,479 4,307 2
2 Andhra Pradesh 39,54,229 22,76,683 4,32,347 8,770
3 Arunachal Pradesh 47,595 37,001 7,439 20
4 Assam 26,27,889 16,56,687 1,25,610 232
5 Bihar 2,61,50,975 1,14,03,446 3,20,986 1,163
6 Chandigarh 43,600 28,563 11,611 17
7 Chhattisgarh 35,49,517 14,84,005 1,30,617 201
Dadra and Nagar Haveli & Daman
8 and Diu 10,666 11,437 3,934 13
9 Delhi 8,54,951 3,89,415 1,33,114 466
10 Goa 89,395 76,592 20,287 31
11 Gujarat 53,33,354 26,68,638 3,33,977 1,030
12 Haryana 33,04,243 16,98,604 1,75,042 387
13 Himachal Pradesh 2,48,234 3,18,377 79,894 97
14 Jharkhand 69,90,046 21,71,233 1,38,697 368
15 Karnataka 1,73,11,693 81,10,375 5,15,279 813
16 Kerala 56,45,473 30,24,072 2,35,444 1,270
17 Lakshadweep 3,261 4,992 461 -
18 Madhya Pradesh 1,21,25,986 44,18,805 3,85,545 536
19 Maharashtra 1,60,61,287 61,40,345 7,05,426 1,251
20 Manipur 1,47,941 49,949 7,991 25
21 Meghalaya 84,265 55,329 9,639 15
22 Mizoram 46,378 44,364 11,948 8
23 Nagaland 42,176 52,027 8,939 24
24 Odisha 1,37,97,007 37,70,891 2,15,450 504
25 Pondicherry 3,48,036 2,00,381 9,358 6
26 Punjab 35,46,590 14,76,574 1,87,125 380
27 Rajasthan 84,20,692 41,47,845 4,14,425 954
28 Sikkim 33,717 39,895 5,071 12
29 Tamil Nadu 1,85,46,665 97,10,353 4,62,047 1,294
30 Telangana 24,89,159 11,51,546 2,45,471 7,358
31 Tripura 10,04,080 6,86,944 17,298 40
Union Territory of Jammu
32 and Kashmir 4,09,699 10,67,242 1,76,664 42
33 Union Territory of Ladakh 3,781 37,926 8,139 5
34 Uttar Pradesh 2,20,03,219 82,17,927 7,15,986 1,771
35 Uttarakhand 11,68,360 6,11,995 83,831 263
36 West Bengal 1,79,00,860 98,42,118 4,69,729 1,059
Total 19,43,49,221 8,70,91,055 68,09,128 30,427
Source: As per data uploaded by Member Lending Institutions on Mudra Portal
*****