Correct Answer: (b) It grants loans of up to 15 lakhs for income generating manufacturing, trading and services sectors.
Solution:The Pradhan Mantri Mudra Yojana (PMMY). PMMY, launched in 2015, provides loans up to 10 lakhs to non-corporate, non-farm small/micro enterprises. It covers both term loans and working capital requirements. The scheme has three categories: Shishu (up to ₹50,000), Kishore (₹50,000 to 5 lakhs), and Tarun (5 lakhs to 10 lakhs). PMMY aims to promote entrepreneurship by providing easy access to funding for small businesses. The scheme doesn't insist on collateral for loan sanction, making it accessible to a wider range of entrepreneurs, particularly those from underprivileged backgrounds.