PM SVANidhi Scheme

PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) is a central sector scheme funded by Ministry of Housing and Urban Affairs. The scheme was launched on June 1, 2020 for providing the affordable capital loan to street vendors to resume their livelihoods that are adversely affected by Coronavirus situation. Small Industries Development Bank of India (SIDBI) is the implementing agency for scheme. It is a special micro-credit facility for street vendors to make them self-reliant.

Who is a vendor according to the Scheme?

A vendor is any person engaged in vending of the articles, goods, wares, food items or merchandise of daily use or offering services to public on the street etc., from a temporary built up structure or by moving from place to put. The products provided by them include street food, vegetables, fruits,  apparel, tea, pakodas, breads, eggs, textile, artisan product etc. and the services include laundry services, barber shops, pan shops etc.

Objectives of scheme

  • To facilitate the working capital loan up to Rs. 10,000.
  • To incentivise regular payments.
  • To reward digital transactions.

Eligibility criteria of Beneficiaries

The Scheme is available to all the street vendors engaged in vending in urban areas on or before March 24, 2020. The eligible vendors have the following criteria:

  • Street vendors in possession of Certificate of Vending or Identity card issued by Urban Local bodies (ULB).
  • The vendors who have been covered in a survey but not been given vending certificate.

Benefits under the scheme

  • Vendors can take the advantage of an equity capital loan of up to Rs. 10,000, which can be return in monthly instalments within the period of one year.
  • Those vendors which repay their loans early or within the time can avail the interest subsidy of 7 percent per annum into their bank accounts.
  • It promotes the digital transactions through cash back incentives up to an amount of Rs. 100 per month.
  • The vendors can avail the facility of escalation of credit limit on timely or early repayment of the loan.

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