The government offers several schemes to support citizens, and one of them is the PM SVANidhi scheme.
Under this program, street vendors can now get UPI-linked RuPay credit cards to meet their business and personal financial needs. Let’s break down how it works.
What is the PM SVANidhi Scheme?
The PM SVANidhi Scheme was launched during the COVID-19 pandemic to help street vendors restart businesses affected by lockdowns and financial hardships.
The scheme has been extended until March 31, 2030, with a total budget of ₹7,332 crore, aiming to benefit 11.5 million vendors across the country.
How Much Loan Can Vendors Get?
The loan amounts have been increased in phases:
Phase 1: From ₹10,000 to ₹15,000
Phase 2: From ₹20,000 to ₹25,000
Phase 3: Up to ₹50,000
The UPI-linked RuPay credit card provides instant credit, and vendors can also earn cashback:
Up to ₹1,200 for regular sales
Up to ₹400 for bulk purchases of ₹2,000 or more
PM Modi Launches the Credit Card
Prime Minister Narendra Modi recently launched the PM SVANidhi Credit Card.
Eligible street vendors who have repaid previous loans on time can apply for this card through the PM SVANidhi portal or the mobile app.
These credit cards provide quick access to funds, helping vendors manage daily business expenses and personal needs without delays.
Role of State Governments, Banks, and Local Bodies
Although PM SVANidhi is a central government initiative, its success depends on state governments, urban local bodies, and banks.
State governments & local bodies: Identify vendors, support the loan process, and connect them with welfare schemes.
Banks: Ensure timely loan disbursement, promote digital transactions, and process interest subsidies.
This collaboration ensures street vendors can access funds efficiently and use them to grow their businesses.
