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Budget 2025-26: MSME ministry pitches for higher Mudra loan limits

In the proposal sent to the finance ministry, the MSME ministry has suggested raising the Shishu category limit to Rs 5 lakh and the Kishore category to Rs 10 lakh

The limit of loans under the Pradhan Mantri Mudra Yojana (PMMY) was doubled to Rs 20 lakh recently, inserting a new category—Tarun Plus. Launched 10 years ago, the scheme intended to provide microfinance to small entrepreneurs. However, the number of
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Harsh Kumar New Delhi

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The Union Ministry of Micro, Small and Medium Enterprises (MSME) has recommended increasing loan limits for Shishu and Kishore categories under the Pradhan Mantri Mudra Yojana in the FY26 Budget to be presented on February 1.
 
In the proposal sent to the finance ministry, the MSME ministry has suggested raising the Shishu category limit to Rs 5 lakh and the Kishore category to Rs 10 lakh, according to a senior government official who spoke on condition of anonymity.
 
“The MSME ministry has submitted multiple recommendations, and increasing the limit of other categories of Mudra scheme is one of them. The