PM SVANidhi Scheme

Full Form

Prime Minister Street Vendor's AtmaNirbhar Nidhi

Ministry

Ministry of Housing and Urban Affairs

Launched

2020

Objective

To provide collateral-free working-capital loans to street vendors.

Loan Structure

The restructured scheme provides loans in three tranches:

TrancheMaximum Loan
1st₹15,000
2nd₹25,000
3rd₹50,000

Loans are collateral-free.

Other Features

  • Digital transactions encouraged.
  • Interest subsidy.
  • Successful repayment enables access to higher subsequent tranches.
  • UPI-linked RuPay credit cards have been introduced for eligible vendors who successfully repay the second tranche.

Significance

Promotes:

  • Financial inclusion
  • Formal credit
  • Digital payments
  • Entrepreneurship
  • Livelihood security

Prelims Pointer: PM SVANidhi → Urban street vendors → MoHUA → collateral-free working capital.