The central government has introduced a new scheme to support the common man. This time, special benefits are being provided for street vendors. Through this scheme, small traders will be given loans on easy terms, helping them expand their businesses. Let’s take a look at the details of this scheme.

What is the PM SVANidhi Yojana?

In 2020, the Union Ministry of Housing and Urban Affairs launched the PM SVANidhi Yojana to support small traders. The main goal of this scheme is to help small traders affected by the Covid-19 lockdown. It offers low-interest loans to street vendors and small shopkeepers to help them become self-reliant.

As a new addition to this scheme, Finance Minister Nirmala Sitharaman announced a special credit card for street vendors in the 2025 budget. With this card, traders can take a loan of up to ₹30,000.

How to Get a Loan?

Under the PM SVANidhi Yojana, loans are provided in three phases:

  • First Installment: A maximum loan of ₹10,000 for 12 months.
  • Second Installment: A maximum loan of ₹20,000 for 18 months.
  • Third Installment: A maximum loan of ₹30,000 for 36 months.

Additional Benefits

If a trader repays the loan on time, they can apply for more loans later.
Traders also receive a 7% annual interest subsidy and cashback of up to ₹1,200 if the loan is repaid on time.

Eligibility Criteria

To apply for this scheme, the following conditions must be met:

Applicants must have started their business on the streets of urban areas on or before March 24, 2020.
Street vendors selling fruits, vegetables, clothing, or ready-to-eat food can apply.
Barbers, laundries, and small service providers are also eligible.
Those without a sales certificate can apply with approval from the local administration.

How to Apply?

To apply for this scheme, you can visit the official website, pmsvanidhi.mohua.org.in. Alternatively, you can apply easily through the mobile app, provided your mobile number is linked with your Aadhaar card.

Conclusion

The PM SVANidhi Yojana is not only providing financial assistance but also allowing millions of small traders across the country to become self-reliant. This initiative by the Centre will make street vendors financially stronger and help attract more attention to their businesses.