SBI e Mudra

The State Bank of India (SBI) Mudra Loan refers to loans made available to individuals and Micro, Small, and Medium Enterprises (MSMEs) under the supervision of the Micro-Units Development and Refinance Agency (MUDRA). SBI provides funding support of up to Rs. 10 lakh to individuals and Small and Medium-sized Enterprises (SMEs) sector units under the Mudra scheme. SBI Mudra Loans are available at competitive interest rates, with no or low processing fees and flexible EMI options.

SBI e Mudra Loan

  • SBI Mudra Loans can be used to meet a variety of business needs, including purchasing raw materials, stocking inventory, meeting working capital requirements, purchasing plant and machinery, paying rent, business expansion, and other business-related activities. Individuals, MSMEs, businesses, and enterprises engaged solely in the service, manufacturing, and trading sectors are eligible for SBI Mudra Loans.
  • MUDRA, in addition to financing, provides a credit guarantee for Mudra loans, serves as a technology enabler, and provides developmental and promotional assistance. The funding assistance is available through four channels:

Through a Micro Credit Scheme (MCS) for loans of up to Rs. 1 lakh, where funding is provided by microfinance institutions

  • Refinancing Commercial Banks, Regional Rural Banks (RRBs), and Scheduled Co-operative Banks (SCBs)

  • Women's Enterprise Program

  • Through the securitization of the loan portfolio

The SBI Mudra Loan is available from the bank as a working capital loan as well as a term loan to meet a variety of business needs. SBI's maximum loan amount under the Mudra Yojana is Rs. 10 lakh. Businesses engaged in manufacturing or providing services are eligible for a CGTMSE guarantee, but businesses engaged in retail trade are not. The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) guarantees loans to eligible applicants under the Mudra scheme up to a certain amount.

SBI e-Mudra Loan apply online

Existing SBI customers with Savings Accounts or Current Accounts (individuals) can apply for an e-MUDRA loan of up to Rs. 1,00,000 by visiting the SBI e-mudra portal and following the steps outlined below:

Step 1: From the drop-down menu, select Pradhan Mantri Mudra Yojana Application Form.

Step 2: Go to the SBI official website at and click on the ‘Proceed' button. 

Step 3: Provide the necessary information, such as the applicant's Aadhar card, for e-KYC purposes via UIDAI, as the e-KYC and e-sign must be completed via OTP authentication for loan processing and disbursement. 

Step 4: Once the SBI formalities and loan process is completed, the applicant will receive an SMS informing them that they must restart the process by visiting the e-MUDRA portal.

Step 5: This process must be completed within 30 days of receiving the loan sanction SMS.

Please keep in mind that the applicant must upload the document in JPEG, PDF, or PNG format only, with a maximum file size of 2MB.

Why Should You Apply for the Pradhan Mantri Mudra Yojana

The Pradhan Mantri Mudra Yojana scheme is an excellent option for individuals in need of funds to finance a variety of business-related needs. The following are some of the reasons you should apply for the Pradhan Mantri Mudra Yojana scheme:

  • Microenterprises in the country now have better access to funds thanks to the PMMY scheme.

  • Individuals in need of funds for business purposes can apply for loans under the PMMY scheme at a low interest rate.

  • The PMMY scheme promotes job creation and GDP growth.

  • The Pradhan Mantri Mudra Yojana has a relatively low processing fee. 

  • MSE units that use the Kishore and Shishu schemes pay no processing fees, whereas the Tarun scheme charges a nominal interest rate of 0.50 percent plus tax.

SBI e Mudra Loan eligibility criteria

  • The Pradhan Mantri Mudra Yojana loan is available to both existing and new units.

  • This loan is available to businesses engaged in the manufacture of goods.

  • Individuals working in the trading and service sectors are eligible to apply for the PMMY loan.

  • Those who engage in allied agricultural activities are eligible to apply for this loan.

Frequently asked questions

Who is eligible to apply for an SBI Mudra Loan?

An SBI Mudra Loan can be obtained by any micro or a small business owner. The business's owners can be sole proprietors, partners, or directors.

How can I obtain a Rs. 50,000 loan from SBI?

You can apply for a direct loan from SBI or a Mudra/e-Mudra loan from SBI to obtain a loan of up to Rs. 50,000.

What is the repayment schedule for an SBI Mudra Loan?

Working capital funds are payable on demand, whereas term loans have a repayment term of 3 to 5 years, including a moratorium period of up to 6 months.

Can people living in cities apply for an SBI Mudra Loan?

 Yes. People living in cities can apply for an SBI Mudra Loan.

What exactly is a Mudra Card?

A Mudra Card is a debit card that allows you to withdraw money in instalments from the total loan amount. It will be used as a debit/ATM card to withdraw funds for business purchases.

Is the Mudra loan scheme subsidised in any way?

No, no subsidies are provided under the Mudra loan scheme.

What is the maximum loan amount available under the Mudra loan scheme?

The maximum loan amount available through the Mudra loan scheme is Rs. 10 lakh.

How long does it take banks to process Mudra loan applications?

The Mudra loan processing time for approval and disbursement is approximately 7-10 working days from the date of loan application form submission. However, it varies by bank and is determined by the loan amount, the applicant's profile, and the nature of the business.

Is the overdraft facility of up to Rs 5000 covered by the Mudra Scheme?

Yes, an overdraft facility of Rs. 5000 sanctioned under the Pradhan Mantri Jan Dhan Yojana (PMJDY) is covered by the Mudra Loan.

Where can I obtain/download the SBI Mudra Loan application form online?

To apply for an SBI Mudra Loan, download the loan application form in pdf format from the bank's official website or click here. The downloaded form must be filled out completely, and all required documents must be gathered and submitted at the nearest bank branch.

Do NBFCs offer Mudra loans as well?

No, only banks are permitted to make Mudra loans. The government of India does not authorise NBFCs to make Mudra loans. They can, however, make MSME loans.

What should I do if the bank manager rejects my MUDRA loan application form?

 If you believe your loan application was rejected on false grounds, you can file a complaint with the higher bank authority. However, whether or not to accept or reject Mudra loan applications based on the applicant's creditworthiness, repayment history, or financial stability is entirely at the discretion of the respective bank.