MUDRA
Micro Units Development and Refinance Agency
What MUDRA means
A government scheme providing collateral-free business loans up to ₹10 lakh through banks, MFIs, and NBFCs in three tiers: Shishu (up to ₹50,000), Kishore (₹50,001–₹5 lakh), and Tarun (₹5–₹10 lakh).
Example
A tea stall owner needing ₹35,000 to upgrade equipment applies for a Shishu MUDRA loan at the local branch with minimal documentation and no collateral.
This definition is based on MUDRA Official Portal ↗. We link every figure to its primary source — see our data methodology.
Related government scheme terms
- CSISA central government scheme providing 100% interest subsidy on education loans during the moratorium period for students from families with annual income up to ₹4.5 lakh.
- PMAYA central government scheme providing upfront interest subsidies on home loans for first-time buyers in the EWS, LIG, MIG-I, and MIG-II income categories under the Credit Linked Subsidy Scheme (CLSS).
- Section 24bAn Income Tax Act provision allowing a deduction of up to ₹2 lakh per year on home loan interest paid for a self-occupied property, reducing taxable income.
- Section 80CAn Income Tax provision allowing a combined deduction of up to ₹1.5 lakh per financial year on home loan principal repayment along with other qualifying investments (PPF, ELSS, life insurance, etc.).
- Section 80EAn Income Tax provision allowing 100% deduction of interest paid on an education loan — with no monetary cap — for up to 8 years from the year repayment begins.