<span style="color: #222222;">Union Cabinet today approved a scheme for interest subvention of 2 per cent for a period of 12 months, to all Shishu loan accounts under Pradhan Mantri Mudra Yojana (PMMY) to eligible borrowers.<br />''<br />''The scheme will be extended to loans which are not in Non-Performing Asset (NPA) category, as per Reserve Bank of India (RBI) guidelines as on 31st March 2020 and during the period of operation of the Scheme.<br />''<br />''The interest subvention would be payable for the months in which the accounts are not in NPA category including for the months that the account becomes a performing asset again, after turning NPA.<br />''<br />''The scheme will incentivize people who will make regular repayments of loans.<br />''<br />''The estimated cost of the Scheme would be approximately Rs. 1,542 crore which would be provided by the Government of India.<br />''<br />''This Scheme is for implementation of one of the measures relating to MSMEs, announced under the Atma Nirbhar Bharat Abhiyan.<br />''<br />''Under PMMY, loans for income generating activities up to Rs. 50,000 rupees are termed as Shishu loans.<br />''<br />''AIR correspondent reports, the  Scheme will be implemented through the Small Industries Development Bank of India (SIDBI) and will be in operation for 12 months.</span><br />