The Mudra Yojana is a revolution and nothing short of that. One could even argue that this scheme of Prime Minister Modi is the single biggest socio-economic reform that the country has seen. And it’s affects are extensive and wide-reaching.
The only possible sensible economic argument that the opposition has raised in the past few years is that of job generation. But now even that argument will fall apart like the Congress party itself is disintegrating throughout the country.
The scheme was launched by Prime Minister Modi on April 8, 2015. The scheme in essence is about providing people with loans without them having the need to provide any collateral or guarantee against the loan. Funding the unfunded is the motive of the scheme as the ones given loans under the scheme are those who aren’t generally entertained by banks.
As per a report by SKOCH, till now Rs 3.42 lakh crore worth of loanshave been disbursed to over 8 crore people under the Mudra Yojana in just less than two and a half years. The unprecedented effect of this revolutionary scheme is that it has been successful in generating 5.5 crore jobs! This translates to around 2.27 crore jobs per year which is immensely significant.
Apparently, industrialised states like Karnataka, Tamil Nadu and Maharashtra have been the biggest beneficiaries of the scheme. The most significant aspect is that majority of these people are those who weren’t involved in any kind of business before. This goes to show that the scheme has been successful in creating entrepreneurs.
Loans under the scheme are available for non-agricultural activities for up to Rs 10 lakh. Activities related to agriculture, such as dairy, poultry, bee-keeping etc., are also covered.
The groundswell in favor of Prime Minister Modi that’s repeatedly seen in local and state elections is because of schemes such as the Mudra Yojana. No political pundit or opposition party has been able to accurately assess the impact of schemes such as the Mudra Yojana, Jan Dhan and UjjwalaYojana. Jibes such as ‘fair and lovely sarkar’ and ‘suit boot kisarkar’ go on to highlight how detached the opposition leaders are from reality. They still think furthering the Adani-Ambani rhetoric will help them, whereas the truth is that the Modi government has relentlessly worked for the poor without succumbing t0 the whims of corporate giants unlike UPA.