HomeElementsEmpowering Street Vendors: PM Svanidhi Yojana Explained

Empowering Street Vendors: PM Svanidhi Yojana Explained

Street vending is a common sight in many countries, where individuals set up stalls or carts along roadsides to sell a variety of goods and services. These street vendors play a crucial role in the economy by providing convenient access to essential items and creating employment opportunities for many. In India, street vending is a significant source of livelihood for millions of people. To empower and support these street vendors, the Government of India has launched the PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme.

What is PM SVANidhi Yojana?

The Pradhan Mantri Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme is a special micro-credit facility launched by the Ministry of Housing and Urban Affairs in June 2020. The aim of this scheme is to provide affordable working capital loans to street vendors to help them resume their livelihood activities that have been impacted due to the COVID-19 pandemic. The scheme targets to benefit over 50 lakh street vendors across India by providing them with access to credit facilities for re-establishing their businesses.

How Does PM SVANidhi Yojana Work?

Under the PM SVANidhi Scheme, street vendors can avail of working capital loans of up to Rs. 10,000, which is repayable in monthly installments. To be eligible for the scheme, a street vendor must be above 18 years of age, have a working vending site as of March 24, 2020, and possess a valid ID proof. The application process for the scheme is simple and can be done online or through Common Service Centers (CSCs) set up at various locations.

Key Benefits of PM SVANidhi Yojana

  1. Access to Credit: Street vendors who may not have access to formal banking channels can benefit from easy credit facilities under this scheme.
  2. Financial Inclusion: The scheme aims to bring street vendors into the formal financial system, promoting financial literacy and inclusion.
  3. Boost to Livelihoods: By providing working capital, the scheme helps street vendors revive and scale up their businesses, thereby enhancing their income levels.
  4. Affordable Interest Rates: The interest rates on the loans provided under PM SVANidhi Yojana are subsidized, making it affordable for vendors to borrow and repay.

Steps to Apply for PM SVANidhi Yojana

  1. Visit the Official Website: Applicants can visit the PM SVANidhi portal and register themselves.
  2. Complete the Application Form: Fill in the required details and submit the necessary documents, such as ID proof and address proof.
  3. Verification Process: The application will be verified, and once approved, the loan amount will be disbursed to the vendor’s bank account.

Impact of PM SVANidhi Yojana

The PM SVANidhi Scheme has had a significant impact on the lives of street vendors across the country. By providing them with access to credit and the opportunity to rebuild their businesses, the scheme has helped in restoring livelihoods that were adversely affected by the pandemic. Many street vendors have been able to expand their operations, diversify their products, and improve their earnings, thanks to the support received through this scheme.

Challenges and the Way Forward

While the PM SVANidhi Yojana has been successful in reaching out to a large number of street vendors, there are still challenges that need to be addressed. These include ensuring widespread awareness about the scheme, simplifying the application process further, and providing adequate support for capacity building and skill development among vendors. Going forward, a more comprehensive approach that combines financial assistance with training and market linkages can further enhance the impact of this scheme.


1. Who is eligible to apply for PM SVANidhi Yojana?
Ans: Street vendors above 18 years of age with a vending site as of March 24, 2020, are eligible to apply.

2. What is the maximum loan amount one can avail under PM SVANidhi Yojana?
Ans: Street vendors can avail working capital loans of up to Rs. 10,000 under this scheme.

3. How can one apply for PM SVANidhi Yojana?
Ans: Applications can be submitted online through the official PM SVANidhi portal or through Common Service Centers (CSCs).

4. What documents are required to apply for PM SVANidhi Yojana?
Ans: Applicants need to provide ID proof, address proof, and details of their vending site.

5. Are the interest rates subsidized under PM SVANidhi Yojana?
Ans: Yes, the interest rates on loans provided under this scheme are subsidized to make them affordable for street vendors.

In conclusion, the PM SVANidhi Yojana is a commendable initiative aimed at supporting and empowering street vendors in India. By providing them with financial assistance and opportunities for growth, the scheme not only helps vendors sustain their livelihoods but also contributes to the overall economic development of the country. As the scheme continues to evolve and expand its reach, it holds the potential to bring about a positive transformation in the lives of millions of street vendors across India.

Diya Patel
Diya Patel
Diya Patеl is an еxpеriеncеd tеch writеr and AI еagеr to focus on natural languagе procеssing and machinе lеarning. With a background in computational linguistics and machinе lеarning algorithms, Diya has contributеd to growing NLP applications.

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