PM Street Vendors AtmaNirbhar Nidhi (PM SVANidhi) Scheme
Posted 04 Oct 2025
Updated 08 Oct 2025
2 min read
Article Summary
Article Summary
The Cabinet approved extending and restructuring the PM SVANidhi scheme to support street vendors with increased loan Tranches, digital payment incentives, training, and expanded coverage for sustainable growth.
Why in the News?
Cabinet recently approved restructuring & extension of lending period (beyond 2024) of PM Street Vendors AtmaNirbhar Nidhi (PM SVANidhi) Scheme.
Objectives
Salient Features
Holistic development of street vendors by offering a reliable source of finance to support business expansion and opportunities for sustainable growth.
Provide working capital loans.
Promote financial inclusion, digital payments, and identity/recognition to street vendors.
Background: Initially launched in 2020 to support street vendors who faced unprecedented hardships during the COVID-19 pandemic.
Type: Central Sector Scheme.
Ministry: Ministry of Housing and Urban Affairs.
Implementation: Jointly by Ministry of Housing & Urban Affairs (MoHUA) and Department of Financial Services (DFS).
DFS responsible for facilitating access to loan/ credit cards through banks/financial institution and their ground level functionaries.
Total outlay: ₹7,332 crore
Target Beneficiary: Street Vendors engaged in vending in urban areas on/ before 24 March 2020.
Restructured scheme aims to benefit 1.15 crore beneficiaries including 50 lakh new beneficiaries.
Key Benefits: Working capital with Interest subsidy (7%) and Higher loan eligibility on timely/early repayment.
New Features:
Enhanced Working capital Loan Tranches:
First tranche: up to ₹15,000 (up from ₹10,000).
Second tranche: up to ₹25,000 (up from ₹20,000).
Third tranche: unchanged at ₹50,000.
Digital Access: Introduction of UPI-linked RuPay Credit Card after repayment of second loan.
Digital Push: Up to ₹1,600 cashback incentives for street vendors for retail & wholesale transactions.
Coverage Expansion: From statutory towns to census towns and peri-urban areas etc. in graded manner.
Capacity Building: Training in entrepreneurship, financial literacy, digital skills, marketing.
Special training on hygiene and food safety for street food vendors (with FSSAI).
SVANidhi se Samriddhi: Strengthened through monthly Lok Kalyan Melas for linking vendors with other welfare schemes.