Question : MUDRA Scheme

(a) the number of jobs created through MUDRA Scheme since its inception and present status of the Scheme across the country;

(b) whether the Government has set any target for disbursement of loans under the said Scheme in the country;

(c) if so, whether the Government has prescribed any binding provisions for the banks not able to achieve the said targets, if so, the details thereof including the action taken against the banks showing carelessness in disbursing the said loans;

(d) whether the Government has received any complaint regarding irregularities or denial of loans under the said Scheme in the country, if so, the details thereof and the corrective steps taken by the Government in this regard; and

(e) whether the Government proposes to emphasize on its extensive publicity to make MDURA loans disbursement hassle-free by minimizing the paper work, if so, the details thereof including the number of beneficiaries in different categories under the said Yojana in the country since its inception till date, year, category and State-wise including Tamil Nadu and Telangana?

Minister of State in the Ministry of Finance

(a) : As on 25.10.2019, over 20.65 crore loans have been extended under Pradhan Mantri Mudra Yojana (PMMY). Though data on jobs generated under the PMMY scheme is not maintained, a sample survey conducted by Ministry of Labour and Employment (MoLE) estimates that PMMY helped in generation of 1.12 crore net additional employment during a period of approximately 3 years (i.e. from 2015 to 2018).

(b) and (c) :Government allocates annual targets regarding the amount to be sanctioned under Pradhan Mantri Mudra Yojana (PMMY) to Member Lending Institutions (MLIs) i.e. Scheduled Commercial Banks (SCBs), Regional Rural Banks (RRBs), Non Banking Financial Companies (NBFCs) and Micro Finance Institutions (MFIs). For the current financial year (FY), a target of sanction of Rs. 3.25 lakh crore has been fixed for MLIs. The national level targets under the PMMY scheme have been consistently met since inception of the scheme.
As part of Enhanced Access and Service Excellence (EASE) framework, performance of each Public Sector Bank (PSB) is evaluated on the basis of 100+ metrics which include, inter-alia, performance on Mudra loans. Performance in EASE related reforms index has also been given weightage in annual performance appraisal of Whole Time Directors (WTDs) and of officers up to two levels below WTDs. The performance of PSBs with regard to PMMY is also monitored periodically.

(d) : Any complaints received in respect of implementation of PMMY including denial of loan applications, delay in turn-around-time (TAT) and lenders’ insisting on collateral/guarantor on certain occasions, are redressed in coordination with the respective banks.
• (e) : Government has taken a number of steps for making PMMY loans disbursement hassle-free and minimising paper work, including, inter-alia, the following :
• provision for online applications through psbloansin59minutes and udyamimitra portal.
• intensive publicity campaigns for increased visibility of the scheme for lenders and borrowers.
• simplification of application forms.
• nomination of Mudra Nodal officers in PSBs.
• PSBs have also been advised to maintain regular and intensive contact with PMMY borrowers.
State-wise and Category-wise details regarding the number of loans sanctioned year-wise are placed at Annexure -1 and Annexure – 2 respectively.