Mudra Loan Yojana Launched in Chandigarh

This yojana supports over 5.77 crore small business units and budding entrepreneurs and business units. These units are unable to raise funds for running their businesses and this hampers them to flourish. The small businesses and industries should be promoted to create employment opportunities. The small scale industries need to grow for the overall growth of the country. The Mudra Bank Yojana or Loans are to fund the under developed and depressed small business units. Shri. Narendra Modi is also very interested for the execution of the Yojana across India. Moreover, the number of small business units and self-employed are increasing rapidly. The Prime Minister Narendra Modi understands the problems that are hampering the growth of the country and the launch of the Mudra Yojana is indeed a revolution for supported the unfunded or depressed small business units and small industries. Along with the Jan dhyan Yojana where the citizens are encouraged to open their bank accounts there are many more initiatives taken by the Prime Minister.

According to the Prime Minister the self-employed people only use funds of around Rs 11 lakh crore and produce employment opportunities for more than 12 crore people.

The increasing number of self- employed Indians motivated Mr. Narendra Modi to launch the Mudra Yojana. This revolutionary initiative of the Pradhan Mantri Mudra Yojana was launched on 8th April 2015 to help the micro business units and small entrepreneurs to grow and flourish by providing them the required funds to set up their operations and flourish. According to a study, by investing merely Rs. 100,000 one SBU produces employment opportunities for at least 4 people. With these loans many small or micro business units like hawkers, grocers shop keepers, beauty parlors, black smiths and various artisans can be benefited and flourish creating employment opportunities. The contribution of the small business units is not only confined to creating employment but also it increases the exports of the country and gives an excellent growth to the country. Only a maximum amount of Rs.10 lakhs can be sanctioned for one beneficiary under the Mudra Yojana and the minimum amount is Rs. 50,000.

The Mudra yojana would utilize more than Rs. 20,000 crore. These loans are for the micro finance institutes and provide liquidity for the small business units. The Mudra banks would fund the small business units and all other units who do not get loans for setting up their business and would act as a regulator for all the Micro-Finance Institutions. The only aim behind this campaign is to assist the small business units and budding entrepreneurs to develop and generate more employment opportunities. The main focus behind the Mudra Yojana would be the self- employed and agriculture related business units. They can benefit the most from the Mudra Yojana.

The youth of India lacks employment opportunities, though they are well educated and skilled. Hence to produce employment for the young entrepreneurs, the Pradhan Mantri Mudra Yojana aids them. The beneficiaries or the small business units can get a loan of maximum Rs. 10 lakhs without producing any security. The loans are also available for the 5.76 crore self-employed Indians to start their business.

There are many responsibilities of the Mudra banks. Mudra Banks are the banks who are involved in this campaign, irrespective of being government or private. Following are the responsibilities of the Mudra banks:

Laying down the policies for the beneficiaries
Registering and regulating the micro business units
Rating of the entities
Formulating financial practices to eliminate indebtness and ensure that there are proper means for recovering the loan funds
Promoting the right ways and technology
Running an effective and credit assured scheme for the guarantees of the loans
Laying down an operational architecture fulfilling the objective.

Only by lending these loans the small business units can flourish and create more exports and employment opportunities for the growth of the country. These business units if borrow these loans from outside, they have to repay heavy interests and it hampers them for the same.

The Mudra Yojana camps were organized in all the states of India by the government financial organizations and various private and national banks. The Mudra bank Yojana camps were also organized in Chandigarh.

The chief guest Sarup Chand Singla also addressed all the participants of this camp, by highlighting the opportunities the small business units can explore with these loans and how this Yojana would add towards the growing India. He also thanked all the banks who had contributed in the Yojana to make it successful and operative.

The relationship of the banks and other financial institutions need to be fine-tuned between the needy as their needs should be served with a low rate of interest.

The ADC General Sumit Jarangal explained how the Micro units can avail this loan scheme without any security and guarantee, unlike the normal loan process. He further stated that the rate of interest per year for these loans is less than 12% annually.

These loans are for anybody who run a small or medium sized business like beauty parlors, grocery stores, etc. There were many other leaders and officers also present during the function. The Akali Dal president, Mr. Bansal and BJP leader Mohit Gupta along with the senior managers of the participating banks were also present. All the beneficiaries were also a part of the camp.

Another camp was also organized in Sector 22-B, union bank. The Deputy General Manager, Mr. Nitesh Rajan of Union Bank was honored as the chief guest for the occasion. He presented the letters for the loans to more than 52 beneficiaries in Chandigarh.

In totally the Union Bank has sanctioned more than 161 loans to various Small business and entrepreneurs till date. The event was closed with the speech delivered by Shri Nitesh Ranjan where he educated and explained in detail about the Mudra Yojana and how the people of Chandigarh, Haryana and Himachal Pradesh can capitalize with this equity. He also motivated the banks present on the occasion about how they can help with their functionalities and services towards the betterment and progress of the state. Proper implementation of the Mudra Yojana would create more employment opportunities in Chandigarh, he added. He also explained the three slabs for loans in the Mudra Yojana, talking about the Shishu, Kishore and Tarun loan scheme. Then he thanked all the private and government banks who had helped to make this campaign a success with their contribution.

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