PM SVANidhi Scheme Empowers Street Vendors with Rs 9,790 Crore in Loans

The Pradhan Mantri Street Vendor’s Atma Nirbhar Nidhi (PM SVANidhi) Scheme, launched by the Ministry of Housing and Urban Affairs in June 2020, has made significant progress in empowering street vendors in India. The scheme’s primary objective is to provide collateral-free working capital loans to street vendors affected by the COVID-19 pandemic.

Key Developments and Achievements

  • Loan Disbursements and Sanctions: As of July 19, 2023, the scheme has sanctioned 53.41 lakh applications and disbursed 50.52 lakh applications, amounting to Rs. 6,472 crore. This marks a substantial step in aiding the street vendors financially.
  • Enhanced Loan Facilities: Initially, the scheme offered a working capital loan of up to ₹10,000. Recognizing the need for more significant financial support, it was expanded to include a second loan of up to ₹20,000 and a third loan of up to ₹50,000, introduced in 2021 and 2022, respectively.
  • Digital Onboarding and Transactions: A key focus of the scheme has been the digital onboarding of street vendors to promote economic development. As part of a special campaign in May 2023, 1,06,432 vendors were digitally onboarded. Additionally, the scheme offers a cashback incentive of up to ₹1,200 per year for digital transactions.
  • Awareness and Financial Literacy: The Department of Financial Services (DFS) has urged banks to organize workshops, seminars, and financial literacy programs to educate street vendors about the scheme’s features. This initiative aims to increase participation and ensure vendors can fully utilize the scheme’s benefits.
  • Future Goals: The government plans to extend the benefits of the PM SVANidhi Scheme to 42 lakh street vendors by December 2024. This extension is part of a broader effort to support and regulate the sector through initiatives like creating designated vending zones under the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014.

State-Wise Impact

  • Andhra Pradesh: As of August 2, 2023, Andhra Pradesh has seen a total of 2,62,811 loans sanctioned under the scheme. This highlights the scheme’s widespread impact across different states in India.


The PM SVANidhi Scheme represents a significant effort by the Indian government to support one of the most vulnerable sectors of the economy. By providing accessible financial aid and promoting digital literacy among street vendors, the scheme aims not only to alleviate immediate financial distress but also to contribute to the long-term economic empowerment of this crucial segment of society.



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