On June 1, 2020, as part of the Economic Stimulus-II under the Atmanirbhar Bharat Abhiyan, the Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme was launched. The objective of the scheme was to provide affordable working capital loans to street vendors whose livelihoods have been adversely affected by Covid-19 lockdowns.
PM SVANidhi Scheme Provisions and Extended Duration
The PM SVANidhi Scheme has now been extended beyond March 2022. Some significant provisions for the extended scheme include the extension of the lending period until December 2024 and the introduction of a third loan of up to ₹50,000. This is in addition to the first and second loans of ₹10,000 and ₹20,000, respectively.
Mapping Socio-Economic Profile: SVANidhi Se Samriddhi
In January 2021, a component called ‘SVANidhi Se Samriddhi’ was launched with the PM SVANidhi Scheme. It aimed to map the socio-economic profile of the scheme beneficiaries and their families. The extension of the scheme also includes an extension of this component for all beneficiaries across the country.
The Impact and Significance of PM SVANidhi Scheme
The scheme provides new opportunities for street vendors to move up the economic ladder by facilitating working capital loans, incentivizing regular repayments, and rewarding digital transactions. 13,403 vending zones have been identified, and it’s said that 42 lakh street vendors will benefit from the PM SVANidhi Scheme by December 2024.
Funding and Eligibility of PM SVANidhi Scheme
The PM SVANidhi Scheme is a Central Sector Scheme, fully funded by the Ministry of Housing and Urban Affairs. The scheme is available for beneficiaries from States or Union Territories (UTs) that have notified Rules and Scheme under the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014. Beneficiaries from Meghalaya, which has its own State Street Vendors Act, may also participate.
Beneficiaries of the PM SVANidhi Scheme
Initially, the scheme was available to all street vendors engaged in vending on or before March 24, 2020. However, now, it’s available to all street vendors engaged in vending in urban areas.
The Role of Microfinance in Women Empowerment
In recent years, microfinancing of women Self Help Groups (SHGs) is proven to be an effective way to break the vicious cycle of gender inequality, poverty, and malnutrition. Various success stories and case studies have reinforced that the economic empowerment of women through microfinance initiatives can extend beyond financial independence and foster social change.
Source: PIB
