The ‘Main Bhi Digital 3.0’ Campaign, a collaboration between the Ministry of Housing and Urban Affairs (MoHUA) and the Ministry of Electronics & Information Technology (MeitY), was recently launched as part of the Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme.
Understanding the ‘Main Bhi Digital 3.0’ Campaign
‘Main Bhi Digital 3.0’ is a unique effort aimed at digitally onboarding Street Vendors who have already received loans under the PM SVANidhi Scheme. The plan includes issuing a durable QR Code & Unified Payments Interface (UPI) ID to the vendors at the time of loan disbursement. An Integrated IT Platform has been developed for smooth implementation of this initiative. Through PM SVANidhi Portal, street vendors can effortlessly apply for loans.
The PM SVANidhi Scheme Defined
As part of the Economic Stimulus-II under the Atmanirbhar Bharat Abhiyan, this scheme was implemented on June 1, 2020. It was designed to provide affordable working capital loans to street vendors affected by Covid-19 imposed lockdowns. The scheme, with a sanctioned budget of Rs. 700 crore, aims to benefit over 50 lakh street vendors who had been vending on or before 24th March 2020.
Potential Benefits and Incentives
Street vendors can avail a working capital loan up to Rs. 10,000, repayable in monthly installments within a year. Early or timely repayment of this loan results in an interest subsidy of 7% per annum credited into the beneficiaries’ bank accounts. There is no penalty for early repayment of the loan, and vendors can avail the facility of enhanced credit limit on timely/early repayment.
Challenges Faced
However, this initiative has faced some issues. Many banks are seeking applications on stamp papers worth between Rs. 100 and Rs. 500, and checking the credit score of applicants. Some state authorities have asked for voter ID cards, which many migrant vendors do not possess. There have also been complaints about harassment by police and municipal officials.
Additional Initiatives for Street Vendors
Several other programs complement the PM SVANidhi scheme, including Pradhan Mantri Jeevan Jyoti Bima Yojana, Pradhan Mantri Suraksha Bima Yojana, Jan-Dhan Yojana, Building and Other Construction Workers Act 1996, Pradhan Mantri Shram Yogi Maandhan Yojana, and Pradhan Mantri Matru Vandana Yojana.
Steps Forward
To enhance the impact of the PM SVANidhi scheme, it should be reimagined as a permanent development scheme for ‘ultra-micro industries’ or street vendors. Inclusion of vendor representatives in monitoring committees can ensure better implementation. Lastly, local administrations should operate according to the Street Vendors Act 2014 to avoid widespread evictions and harassment of vendors.
Last Modified: February 14, 2024