Big boost for small businesses: The government just cleared over ₹9,000 crore to keep the Mudra and Stand-Up India loan schemes running till March 2031.
Out of this, ₹5,000 crore will help guarantee loans for micro units, and ₹4,111 crore is set aside to encourage more entrepreneurs through Stand-Up India.
Mudra lending 12.6Lcr, guarantee fee 0.75%
With this extra funding, the Mudra scheme can offer loans worth a massive ₹12.6 lakh crore over the next 5 years, and they've even dropped the annual guarantee fee from 1% to 0.75%.
Stand-Up India is also planning to back another 2.5 lakh new business owners from women and SC/ST communities by 2031.
Since its launch in 2016, it's already facilitated loans for more than 2.75 lakh women and SC/ST entrepreneurs.
More funding means more chances for young founders to turn their ideas into reality!