Pradhan Mantri MUDRA Yojana is aimed at

(a) bringing the small entrepreneurs into formal financial system ✓ UPSC's answer
(b) providing loans to poor farmers for cultivating particular crops
(c) providing pensions to old and destitute persons
(d) funding the voluntary organizations involved in the promotion of skill development and employment generation

Why the answer is (a)

• PMMY (2015) provides collateral-free loans up to ₹10 lakh (now ₹20 lakh) — Shishu, Kishore, Tarun — to micro and small non-farm enterprises through banks, NBFCs and MFIs, refinanced by MUDRA Ltd.

• Its aim is to 'fund the unfunded' and bring small entrepreneurs into the formal financial system — option (a).

• It is not a farm-crop loan (b), a pension (c) or NGO funding (d).

• Hence option (a).

Why the other options are wrong

(b) providing loans to poor farmers for cultivating particular crops: MUDRA is for non-farm enterprises, not crop loans.
(c) providing pensions to old and destitute persons: MUDRA is not a pension scheme.
(d) funding the voluntary organizations involved in the promotion of skill development and…: MUDRA does not fund voluntary organisations.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2016, held on 7 August 2016. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.