PM SVANidhi
- PM SVANidhi stands for Prime Minister Street Vendor’s AtmaNirbhar Nidhi. It is a central sector scheme launched in June 2020.
- It aims to provide micro-credit facilities to street vendors affected due to COVID-19 pandemic.
Objectives of PM SVANidhi
- To give vendors access to affordable working capital loans which can help them to resume their livelihood activities post-countrywide lockdown (due to the pandemic.)
- To incentivize regular repayment of loans by provisions like cash-back, higher loans on subsequent demands etc.
- To promote digitalization by rewarding vendors who opt for digital repayments of loans.
Target Beneficiary
- Street Vendors or hawkers in urban areas
- Street Vendors of peri-urban areas
- Street Vendors of Rural areas (Those street vendors as on/before 24th March 2020)
Salient Features of PM SVANidhi
- It is a central sector scheme
- It will provide affordable working capital loans to street vendors who are left affected by the novel coronavirus pandemic.
- It will be implemented till March 2022.
- Vendors will be provided with an initial working capital of up to Rs. 10000
- A vendor will get an interest subsidy at 7 per cent at early or timely repayment of loans.
- There is a provision of monthly cash-back incentive on digital payments.
- Monthly cashback in the range of Rs. 50-100.
- A vendor has the high probability to be eligible for a higher loan if he/she repays the first loan on time.
- A vendor does not have to provide any collateral security to access the loan.