By Mohammad Haris,News18

Copyright news18

PM SVANidhi Scheme: The government has decided to extend the Prime Minister Street Vendors Atmanirbhar Nidhi (PM SVANidhi) scheme till March 31, 2030, providing longer financial support to millions of small vendors. Launched on June 1, 2020, the scheme offers collateral-free working capital loans to street vendors, hawkers, and small shopkeepers to help them sustain and expand their livelihoods.
So far, more than 6.8 million beneficiaries, ranging from fruit and vegetable sellers to laundry operators, barbers, and small shop owners, have availed loans under the scheme. With the extension, the government expects to spend about Rs 7,332 crore, benefitting nearly 11.5 million people, including an additional 5 million new borrowers.
Loan slabs revised
Under the microcredit programme, vendors can access loans in three stages, totalling up to Rs 90,000, higher than the earlier cap of Rs 80,000. The first loan slab has been raised from Rs 10,000 to Rs 15,000, while the second has gone up from Rs 20,000 to Rs 25,000. The third stage remains unchanged at Rs 50,000. All loans are offered without any collateral requirements.
Digital push and RuPay card facility
Borrowers who repay their loans on time will also become eligible for a RuPay credit card linked to UPI, enabling quicker access to funds for business expansion or personal needs. To promote digital transactions, vendors can earn up to Rs 1,600 annually as cashback on wholesale and retail payments made digitally.
Where and how to apply
The loans are disbursed through scheduled commercial banks, regional rural banks, small finance banks, cooperative banks, NBFCs, microfinance institutions, and self-help group (SHG) banks. The Small Industries Development Bank of India (SIDBI) acts as the implementation partner. Applicants are required to complete basic KYC formalities, including Aadhaar and voter ID, while other documents such as driving license, MGNREGA card, or PAN can also be used. Vendors can also apply through Common Service Centres (CSCs) across the country.
Training for vendors
Alongside financial assistance, the government is running training programmes for vendors. In Prayagraj, for instance, a welfare fair organised under the scheme included sessions for street food sellers. Similar events have begun in Mainpuri, Uttar Pradesh. These welfare fairs, which started on September 17 — coinciding with Prime Minister Narendra Modi’s birthday — will continue until October 2.