Quote“Biofuel is synonymous to protecting nature - Biofuel for us is green and environment-saving fuel”
Quote“Political selfishness and politics of short cuts can never solve the problems permanently”
Quote“Selfish announcements of freebies will prevent the country from becoming self-reliant, increase burden on honest taxpayers and prevent investment in new technologies”
Quote“In the next few years, more than 75 percent of the households in the country will get piped gas”

Namaskar!

Governor of Haryana Shri Bandaru Dattatreya ji, my cabinet colleagues Narendra Singh Tomar ji, Hardeep Singh Puri ji, Rameswar Teli ji, MPs, MLAs, my dear farmer brothers and sisters who are present in large numbers in Panipat, other dignitaries associated with this programme, ladies and gentlemen; Wishing you all a very Happy World Bio-fuel Day!

Today's event is very crucial for the farmers across the country including Panipat, Haryana. This modern ethanol plant in Panipat, which has become a bio-fuel plant, is just a beginning. This plant will also help in reducing pollution in Delhi-NCR and the entire Haryana. I congratulate the people of Haryana, especially the farmer sisters and brothers. Today Haryana deserves heartfelt congratulations for another reason as well. In the Commonwealth Games, Haryana's sons and daughters have made the country proud by performing brilliantly. They have brought several medals to the country. The energy depicted by the players of Haryana in the field of sports, will now be shown by the farms of Haryana by generating energy.

Friends,

In a country like ours that worships nature, bio-fuel is a synonym for protecting nature. Our farmer brothers and sisters understand this better. Bio-fuel for us means green fuel or environment saving fuel. The farmer brothers and sisters have been very much aware of this for centuries because you do not allow anything to get wasted in the entire process of sowing seeds to growing crops and then transporting it to the market. Farmers know how to use everything they grow in their fields. The field which grows food for the people also generates fodder for the animals. Most of our farmers know how to make good use of the stubble left behind in the fields after harvest. Stubble is used as animal feed and in many villages, it is also converted into pots. But it is also true that in areas like Haryana, where paddy and wheat are produced more, the stubble could not be fully utilized. Now the farmers here are getting another means of using the stubble and that is with a modern ethanol plant or a bio-fuel plant. The bio-fuel plant of Panipat will also be able to dispose of the stubble without burning. And there will be several other benefits simultaneously. Firstly, Mother Earth will not have to tolerate the pain that was caused to her by stubble burning before. Mother Earth used to burn in that fire but now she will get freedom from that pain. Mother Earth will also like the fact that the stubble will now be used in the right place. Secondly, the new system, the new machines and the new transportation facilities that are coming up for cutting and disposing crop residue as well as these new bio-fuel plants that are being set up, will help generate employment opportunities in all these villages. New opportunities will arise. The field of green jobs will be strengthened. Thirdly, the stubble which used to be a burden for the farmers would now become a means of additional income for them. Fourthly, pollution will be reduced and the contribution of farmers in protecting the environment will increase further. And the fifth benefit would be that the country would also get an alternative fuel. That is, the stubble which used to cause damage earlier will now produce these five nectars. I am glad that the work is underway to set up many such bio-fuel plants in different parts of the country.

Friends,

People who have a tendency to avoid problems by adopting short-cuts for political gains can never solve the problems permanently. Those adopting short-cuts may get accolades for a short while and also gain political brownie points, but the problem does not subside. That's why I say that adopting short-cuts leads to short-circuit. So, instead of following short-cuts, our government is engaged in finding permanent solutions to the problems. A lot has been said about the problems of stubble burning over the years. But the people using short-cuts could not give a solution to this. We understand the problems of the farmers regarding stubble. So, we are also giving them easy options to get rid of it.

We have provided financial assistance to the Farmer Producer Organizations or FPOs for the disposal of stubble. Up to 80 percent subsidy was also given for the purchase of modern machines related to it. Now this bio-fuel plant in Panipat is also going to help in providing a permanent solution to the problem of stubble. In this modern plant, apart from paddy and wheat stubble, the crop residue from maize, sugarcane bagasse and rotten grains will also be used to produce ethanol. That is, the farmers will be free from this big problem. Our food producers who used to burn stubble under compulsion and were maligned because of this, will now feel proud of the fact that they are also helping in the production of ethanol or bio-fuel and in nation building. The government has started another scheme, the Gobardhan scheme, to dispose of the cow dung from cows and buffaloes as well as the waste that comes out of the fields. Gobar Dhan Yojana is also becoming another medium of increasing the income of the farmers.

 

Friends,

Be it fertilizers, chemicals, edible oil, crude oil or gas, we have been heavily dependent on foreign countries for these products for the last several decades since independence. Therefore, as soon as the supply chain used to get disrupted due to global conditions, India too could not escape the repercussions. For the last 8 years, the country is also working on coming up with permanent solutions to these challenges. New fertilizer plants are being set up in the country, nano fertilizers are being produced and new missions have also started for edible oil. In the near future, all these initiatives will lead the country towards a permanent solution to these problems.

Friends,

In the 'Azadi Ka Amritkaal', the country is moving fast towards realizing the resolve of a self-reliant India. Our villages and farmers are the greatest examples of self-reliance. Farmers get their necessities to a large extent from their villages itself. The socio-economic system of the village is such that everyone comes together to fulfil each other's needs. This is the reason why the culture of savings is also very strong among the people of the villages. This culture is also saving the money of the country. In the last 7-8 years, about 50 thousand crore rupees of the country have been saved from going abroad as a result of ethanol blending in petrol. And about the same money has gone to the farmers of our country because of ethanol blending. That is, the money which used to go abroad has in a way been received by our farmers.

Friends,

Another great change has taken place within the new India of the 21st century. Today the country is making big resolutions and also fulfilling them. A few years ago, the country had set a target of blending up to 10 per cent ethanol in petrol. With the help of our farmer brothers and sisters, the country has achieved this target ahead of time. Eight years ago, the production of ethanol in our country was only around 40 crore litres. Today, about 400 crore litres of ethanol is being produced. The raw material for producing ethanol in such large quantities comes from the fields of our farmers. The sugarcane farmers in particular have benefited a lot from this initiative.

Let me give another example to my farmer brothers and sisters of how the country is achieving major goals. Till 2014, there were only around 14 crore LPG gas connections in the country. Half of the country's population, our mothers and sisters, were left to suffer in the kitchen smoke. The harm caused to their health and the inconvenience of sisters and daughters were not taken care of earlier. I am glad that today more than 9 crore gas connections have been given to poor sisters with the Ujjwala scheme itself. Now we have almost reached 100% LPG coverage in the country. There are about 31 crore gas connections in the country today, increasing from 14 crores. This has benefitted the poor families and the middle class to a great extent.

Friends,

Work is also going on at a rapid pace to expand the CNG network in the country and to provide affordable piped gas to every household. CNG stations were started in our country in the 90s. Till 8 years back, there were less than 800 CNG stations in the country. Piped gas connections in homes were only a few lakhs. Today there are more than 4500 CNG stations across the country and the figure of piped gas connections is touching 1 crore. Today, as we are completing 75 years of independence, the country is also working on the goal of covering more than 75 per cent of the households in the country with piped gas in the next few years.

Friends,

Our young generation will be benefitted the most with the hundreds of kilometres long gas pipelines that we are laying down as well as the modern plants and factories that we are setting up today. New opportunities for Green Jobs will be created continuously in the country and employment opportunities will increase. Today's challenges will not trouble our future generations. This is true development. This is true commitment towards development.

Friends,

If there is selfishness in politics, then anyone can come and announce the giving away of free petrol and diesel. Such steps will take away the rights from our children and will prevent the country from becoming self-reliant. Due to such selfish policies, the burden of honest tax payers of the country will also increase. Those who make such announcements for their political interests will never invest in new technologies. They will make false promises to the farmers, but will not set up plants like ethanol plants to increase the income of the farmers. They will make shallow promises on controlling air pollution, but will run away from taking the necessary actions to stop it.

My dear brothers and sisters,

This is not a policy but imprudence. This has nothing to do with national interest but everything to do with harming the national interest. This is not nation building, it is an attempt to push the nation back. To deal with the challenges that the country is facing, it needs a clear intention, sincerity and a policy. For this, a lot of hard work is needed and the government has to invest a lot of money. If the governments do not have money, then even these ethanol plants, biogas plants, big solar plants, hydrogen gas plants which are being installed today will also be shut down. We must remember that whether we are there or not, this nation will always be there. It has survived for centuries and will continue to live for centuries. The children living in this nation will always be there. We do not have the right to ruin the future of our upcoming generations.

 

Friends,

Those who had sacrificed their lives for freedom had also worked in this eternal spirit. If they too had thought of themselves, if they had been selfish, then there wouldn't have been any trouble in their lives too. They would have escaped from hardships, bullets, gallows, tortures, but their children, that is, we the people of India, would not have been able to celebrate the 'Azadi Ka Amrit Mahotsav' today. This month of August is the month of revolution. Therefore, as a country, we have to take a pledge to not allow any such trend to grow. This is a collective responsibility of the country.

Friends,

In this 'Azadi Ka Amrit Mahotsav', when the country is painted in the colours of the tricolour and independence, an incident has come to the forefront. I want to draw the nation's attention towards it. An attempt has been made to disgrace this holy occasion and to disparage our brave freedom fighters. It is important to understand the mentality of such people. We know that sometimes a patient gets tired of the treatment of his long-term illness when he does not get any benefit despite consulting good doctors. Then no matter how educated he is, superstition starts growing in him. He starts using sorcery and starts believing in black magic. Similarly, there are some people in our country who are trapped in the vortex of negativity and are immersed in despair. Even after telling heaps of lies against the government, the public was not ready to trust such people. In such desperation, these people are also now apparently turning towards black magic.


We have seen on 5th August how a lot of effort was made to spread black magic. These people believe that by wearing black clothes, their period of despair and frustration will end. But they don't know that no matter how much black magic or superstition they might use, the public will never trust them again. And I would also say that with such actions, don't try to insult the 'Azadi Ka Amrit Mahotsav' or the tricolour.

Friends,

Unlike the selfish policies of some political parties, our government will continue to work on the mantra of 'Sabka Saath- Sabka Vikas, Sabka Vishwas and Sabka Prayas'. I am sure that the energy of positive beliefs about development will continue to be generated like this. Once again, congratulations to the crores of friends, farmers and livestock rearers of Haryana. Tomorrow is the sacred festival of Raksha Bandhan. On this festival that symbolises the affection of a brother and a sister, every brother reiterates his resolve to perform his duty. Tomorrow as a citizen, we too must reiterate our resolve to fulfil our duty towards the country. With this wish I end my speech. Thanks a lot!

 

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MUDRA NPA rate among world's lowest for segment: PM Modi

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MUDRA NPA rate among world's lowest for segment: PM Modi
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ET Exclusive | MUDRA NPA rate among world's lowest for segment: PM Modi
April 08, 2025

Prime Minister Narendra Modi launched the Pradhan Mantri MUDRA Yojana (PMMY) in 2015 to provide low-cost credit to microfinance and non-banking financial institutions in order to lend to micro, small and medium enterprises and generate jobs and incomes in manufacturing, services, retail, agriculture and allied activities.

The Micro Units Development & Refinance Agency (MUDRA) was established as part of the exercise. Now in its 10th year, the scheme has allowed the government to fund the unfunded, PM Modi said in a written interview to ET on the scheme. Edited excerpts:

What were your expectations from the MUDRA Yojana and has it achieved them?

The MUDRA Yojana needs to be seen in a particular context and not as a standalone scheme. Even before I held any government position, I had travelled extensively across the country for many decades as a karyakarta. There was a common theme that I saw everywhere. A vast majority of our population, such as the poor, farmers, women and marginalised sections had aspirations for growth, strong spirit of enterprise, energy and resilience-all qualities needed to be a successful entrepreneur. But these were the very sections that had been completely excluded from the formal banking and financial system.Tell me, if you do not have a bank account, will you ever visit a bank? When people did not even have access to basic banking, funding for entrepreneurship looked like a distant dream.So, when the people voted for us in 2014, we decided to make the whole financial architecture people-centric and inclusive, so that we could give wings to their aspirations. We democratised the financial system.This started with 'banking the unbanked' with Jan Dhan Yojana. Once those who were left out and left behind began to become part of the formal financial system through this scheme, we went on to 'funding the unfunded' through the MUDRA Yojana and 'insuring the uninsured' through the Jan Suraksha portfolio of schemes.So, MUDRA is part of a larger vision to ensure that the entrepreneurial ability, innovation, creativity and self-reliance of the people at the grassroots is respected, celebrated and supported.Through the MUDRA Yojana, we wanted to give a message to every Indian, that we had trust in their abilities and we would stand as a guarantee in their journey to fulfil their aspirations. Trust begets trust. The people too responded with great zeal and today, with over 52 crore loans given worth ₹33 lakh crore, they have made MUDRA a massive success.

One of the concerns over the scheme has been high NPAs and consequently the underwriting burden on the government. Do these need to be addressed or would you say this is a justified cost for the impact the scheme has had?

There are two perspectives on the problem of NPAs. On the one hand, we have experience from the tenure of the Congress-led United Progressive Alliance. Then, the banking sector operated under a system that came to be known as 'phone banking'.Loans were sanctioned based on calls from political connections rather than on competence, or adherence to strict financial due diligence.We all know how this created the twin balance sheet problem. This period, marked by a lack of transparency and accountability, left public sector banks grappling with a legacy of stressed assets, undermining their ability to support broader economic growth.On the other hand, we lent money to the poor and the middle class through the MUDRA Yojana. It was designed to empower small and medium entrepreneurs who had no connections but had competence and conviction.Unlike the UPA's top-heavy lending model, MUDRA focused on grassroots economic activity. Today, with more than 52 crore loan accounts, MUDRA reflects the massive scale and ambition we had.When we launched this initiative, several prominent Congress leaders and commentators from their ecosystem said that extending credit to crores of small-scale borrowers will cause an NPA issue. They had no trust in the poor and middle class of our country. But the outcomes have defied these predictions.What stands out is the performance of these loans-just 3.5% have turned into NPAs. This is an exceptionally low default rate in this segment world over.While the UPA's phone banking era left banks burdened with toxic assets and favoured select elites of those who were close to power centres, MUDRA has redirected resources to the grassroots, fostering entrepreneurship without compromising financial stability.

The banking sector is in sound health today. Do you think it can take on more risks and fund those lacking formal credit access through schemes such as MUDRA, while corporate borrowers access funds through the bond market?

Due to our relentless banking reforms and deft handling of the NPA crisis, today, our banks are in good health again. Many of them have touched record profits.Over the last decade, programmes such as MUDRA, PM-Svanidhi and Standup India have benefited from the improving health of our banks. Further, due to these schemes, our banking system has also become more responsive towards the needs of small entrepreneurs. As a result, the poor and middle class have reduced their reliance on informal lending to a great extent.I am confident that our banking sector will continue to be a strong partner in the journey of ensuring financial inclusion and supporting entrepreneurship at the grassroots.When it comes to the question of funding small entrepreneurs or corporate borrowers, our banks are capable of supporting both segments and it is not a zero-sum game.This year our corporates raised more than ₹1 trillion through the bond market. This will continue to grow as bond markets are also maturing. Similarly, the MSMEs have started raising money through IPOs and people are appreciating that too. Indian banks will maintain an equilibrium when it comes to priority sector lending as well as corporate lending. This balanced strategy strengthens both financial stability and equitable growth, setting a sustainable path forward as the system continues to mature.

The scheme especially focused on the deprived and women.

Reaching out to the deprived has been the hallmark of this scheme. Vanchit ko variyata, mainstreaming the marginalised-this has been our motto.For decades, affordable credit used to be available only to the rich and well-connected. Unfortunately, the entrepreneurship efforts of the deprived were often trapped in the Chakravyuh of high compounding interest rates. Through MUDRA Yojana, even the deprived are able to get a loan without any collateral.So when we celebrate the success of MUDRA Yojana in promoting entrepreneurship, the heartening aspect is that a large number of these success stories are from women and deprived groups.With over 52 crore loans sanctioned, it has proved to be a lifeline for small and micro businesses in the non-corporate, non-farm sector-areas where SC, ST communities and women often operate. Half of all the loans have gone to people belonging to SC, ST, OBC communities. Nearly 70% of these loans went to women, which shows it's hitting the mark on women's empowerment and financial inclusion.For someone from a deprived background or a woman with a business idea-like a small shop or manufacturing unit such as MSME setup-this scheme has offered real support to turn dreams into reality. This is more than just an entrepreneurship opportunity for the deprived population but it is an inflection point in their lives where their conviction and ideas win over all kinds of doubts and challenges, with the government standing as the guarantor for their loans.

One of the goals of MUDRA was encouraging entrepreneurship and creating employment, especially in rural areas to discourage migration.

The MUDRA Yojana has brought about a fundamental mindset shift in society today. Entrepreneurship, which was considered somewhat of an elite endeavour, has now been democratised.Today, entry barriers to entrepreneurship, actual and perceived, have been reduced significantly and the MUDRA Yojana has been the force behind this change.Today, every layer of our society is thinking of entrepreneurship and growth. Small ideas are blossoming into MSMEs, MSMEs into successful startups and startups into unicorns.Out of the 52 crore loans given under MUDRA, over 10.6 crore have gone to first-time entrepreneurs! You have to understand that there are successful entrepreneurs who have been empowered by MUDRA Yojana in every part of the country, which means there is success in every part of the country.These new entrepreneurs have set off localised growth cycles. These new entrepreneurs are hiring more people, building bigger offices, supporting and collaborating with other businesses at a local level.Today, many youths in tier 2 or tier 3 cities prefer staying close to home rather than moving to metro cities. Low cost of housing, good education, ease of travel, ease of communication and increased avenues for entrepreneurship offer them a lucrative deal.The value addition of these entrepreneurs is being witnessed in our national growth.

How has the scheme evolved over the last decade and what next?

Let us look at the scale of the loans and the amount disbursed under the MUDRA Yojana. Over 52 crore loans worth ₹33 lakh crore have been disbursed.This means 1.6 loans have been given every second, which is faster than even a heartbeat. The total amount sanctioned is higher than the GDP of 100 countries.To give you an idea of how the scheme has progressed, an analysis of the total loans sanctioned/disbursed under the scheme shows that since its launch, the average ticket size of the loans has nearly tripled-from ₹39,000 in FY16 to ₹73,000 in FY23 to ₹1.05 lakh in FY25.In this year's budget, we have raised the upper threshold for loans to ₹20 lakh.Around MUDRA, we have worked on enhancing our digital public infrastructure as well. Beyond JAM and digital payments, we have the account aggregator (AA) framework that ensures paperless loans for everyone. With loans and ease of credit, we wanted to ensure ease of doing business online in a digital world, and therefore, we have the Open Network for Digital Commerce (ONDC). Think of it as UPI for online commerce, where entrepreneurs, especially the ones in second-tier towns and villages, will no longer be dependent on big platforms who they are compelled to share their profits with.The future of MUDRA is already before us with the AA framework and ONDC, and the first-time bank account holders a decade ago are now evolving with the economy, creating a rich credit history, which will tomorrow be beneficial for them in further expanding their business operations.

He regarded the India-led green initiatives as platforms for all nations to collectively address climate change, promote environmental sustainability, build disaster resilient infrastructure, and drive the global transition towards clean energy.

Source: The Economic Times