Government Disburses Rs 13,422 Crore In Loans To Street Vendors Under PM SVANidhi Scheme

The Union Ministry of Housing and Urban Affairs has provided a total of Rs 13,422 crore in loans to 9,431,000 street vendors under the Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme, as of December 8. Minister of State for Housing and Urban Affairs, Tokhan Sahu, shared this update in a written reply in the Rajya Sabha on Monday.

Out of the total loans disbursed, beneficiaries have already repaid 4,036,000 loans, showcasing the initiative’s positive impact on the financial empowerment of street vendors across India.

Launched in 2020 by the Narendra Modi government, the PM SVANidhi scheme further provides micro-credit, offering collateral-free loans up to Rs 50,000 to urban street vendors. The government introduced the scheme to address the economic challenges posed by the Covid-19 pandemic and to support street vendors who the pandemic significantly impacted.

Minister Sahu also assured that no fraud-related complaints have been reported against the agencies or companies responsible for disbursing the loans under the PM SVANidhi scheme. This underscores the effectiveness and transparency of the program.

State-wise Loan Distribution And Performance

The scheme further divides states into three categories based on their size: large states, hilly and northeast states, and small states and Union territories. The government provides each state with a specific disbursement target, and it assesses and ranks their performance based on that target.

In July 2024, Madhya Pradesh topped the rankings in the ‘Best Performing State’ category of the PM SVANidhi scheme. Following closely behind, Assam secured second place in the ‘Best Performing State- Innovation and Best Practices Award’ category.

The continued success of the PM SVANidhi scheme further highlights the government’s commitment to supporting street vendors and fostering their financial independence, with a focus on inclusive growth and innovation across states.