PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) is a central-sector micro-credit scheme launched on 1st June 2020 by the Ministry of Housing and Urban Affairs (MoHUA). The primary objective of this scheme is to provide handholding support and financial assistance to street vendors across India.
The scheme offers working capital loans without any collateral, helping vendors restart and expand their businesses, especially those affected by the COVID-19 pandemic.
Aim of the Scheme
The main aim of PM SVANidhi is to formalize street vendors and open new opportunities for them to move up the economic ladder. Street vendors form a crucial part of the urban informal economy. They ensure that affordable goods and services are available at the doorstep of city dwellers.
Street vendors are commonly known as:
- Vendors
- Hawkers
- Thelewala
- Rehriwala
- Theliphadwala
They sell goods such as vegetables, fruits, ready-to-eat street food, tea, pakodas, bread, eggs, textiles, apparel, footwear, artisan products, books, and stationery. They also provide services like barber shops, cobblers, pan shops, and laundry services.
Key Benefits of PM SVANidhi
The scheme offers several financial and developmental benefits:
- Collateral-Free Loan: Initial working capital loan of ₹10,000.
- Subsequent Loans: ₹20,000 and ₹50,000 for eligible beneficiaries.
- Interest Subsidy: 7% interest subsidy on loans.
- No Processing Fee: Application is completely cost-effective.
- Flexible Usage: The Loan amount can be used for raw materials, rent, equipment, etc.
- Repayment Period: One year for repayment.
- Digital Incentives: Cashback of up to ₹100 per month for digital transactions.
- Nationwide Availability: Implemented across all States and Union Territories.
The scheme promotes digital transactions to increase the digital footprint among street vendors and encourages financial stability and self-reliance.
Eligibility Criteria
Street vendors falling under the following categories are eligible:
- Vendors with a Certificate of Vending (CoV) or Identity Card issued by Urban Local Bodies (ULBs).
- Vendors identified in surveys but not yet issued CoV/ID.
- Vendors left out of surveys or who started vending later but have a Letter of Recommendation (LoR) from ULB/Town Vending Committee (TVC).
- Vendors from peri-urban or rural areas vending within ULB limits with LoR.
Online Application Process
Applicants can apply online by following these steps:
- Visit the official website and click on the “Log In” button.
- Enter your mobile number and captcha, then request OTP.
- After login, select the valid vendor category and enter the mandatory Survey Reference Number (SRN).
- Fill in the application form, upload relevant documents, and submit.
For clarification, applicants can refer to the User Manual or call the toll-free number 1800111979 between 9:30 AM and 6:00 PM (Monday to Saturday, except national holidays).
Offline Application Process
Applicants should:
- Understand required documents for the Loan Application Form (LAF).
- Keep all necessary information ready.
- Ensure the mobile number is linked with Aadhaar for e-KYC validation.
- Check eligibility status under one of the four vendor categories.
Documents Required
For First Loan
Category A & B Vendors:
- Certificate of Vending
- Identity Card
Category C & D Vendors:
- Letter of Recommendation
Additional KYC Documents:
- Aadhaar Card
- Voter ID
- Driving License
- MNREGA Card
- PAN Card
For obtaining a Letter of Recommendation:
- Copy of Account Statement/Passbook
- Membership proof
- Supporting vendor documents
- Request letter to ULB
For Second Loan
- Loan Closure Document
Disclaimer
This blog post is written solely based on the officially provided information about PM SVANidhi. The content is for informational purposes only. Applicants are advised to visit the official website and review the official guidelines before applying. The author is not affiliated with any government authority and does not guarantee approval of any application.