Microfinance and the success of Mudra

Microfinance institutions have provided credit to people at the bottom of the pyramid, with no collateral

The Micro Units Development and Refinance Agency (Mudra) has completed eight years. It was set up as a non-banking financial company for supporting the Pradhan Mantri Mudra Yojana (PMMY) — one of the flagship programmes of the present government — on April 8, 2015, by Prime Minister Narendra Modi. I had the great opportunity to pilot this prestigious programme as Mudra’s first chief executive officer, and develop the contours of its implementation.

PMMY was intended to make available credit to the informal sector and help create large-scale employment. It has come a long way since its launch, supporting nearly 410