A Review of MUDRA Scheme of Government of India in Support Small Ventures

Abstract

India has a large population. The most difficult task of the Indian government is to create jobs. Without small, medium, and micro enterprises creating jobs for people, India cannot survive. Small, micro, and medium enterprises provide employment opportunities to more than 20% of the population. Therefore, the government should encourage small businesses by providing them access to finance, training, marketing resources and visibility. Small and micro businesses today have a very difficult time surviving because of financial innumeracy, a lack of knowledge, a lack of infrastructure, and high start-up costs. In 2015, the Indian government took the initiative to promote small businesses by introducing MUDRA loans and providing loans without collateral. This plan works wonders in providing credit to the small business sector, which is not a business. The Mudra Yojana programmes in India are highlighted in this study. The development of the economy depends heavily on the nation's entrepreneurs. They are regarded as the foundation of the nation. Most business owners struggle with the issue of scarce business credit options. The Pradhan Mantri MUDRA Yojana was established by the Indian government to offer financing after it recognized the significance of entrepreneurs and micro, small, and medium-sized businesses. Entrepreneurs can borrow up to 10 lakhs via this programme, depending on their needs.