PM Svanidhi Yojana- The Pradhan Mantri Street Vendor’s Atmanirbhar Nidhi (PM SVANidhi) Yojana is a flagship scheme launched by the Ministry of Housing and Urban Affairs in June 2020. This scheme is designed to provide collateral-free working capital loans to street vendors, enabling them to restart their businesses after the disruptions caused by COVID-19.

PM Svanidhi Yojana

The main objective of this scheme is to provide financial assistance to small shopkeepers so they can make money for basic needs. In this scheme, you can get a loan of up to Rs 50,000 but it is not at all that you will get Rs 50,000 directly.

Because there is no guarantee of any kind in this scheme, so first you are given a small loan like Rs 10,000, when you pay this amount in full, after that you are given a loan of Rs 20,000. When you pay this 20,000 rupees also, then you are given a loan of Rs 50,000.

You can also say that first you have to build your credit so that you are using the loan properly because many times people take loans and instead of investing that money in business, they spend it at other places due to which their debt only increases.

Objectives of PM SVANidhi Yojana

The main objectives of the scheme are:

• To provide collateral-free working capital loans up to ₹50,000 to eligible street vendors.
• To promote digital transactions by offering incentives for digital payments.
• To improve the creditworthiness of street vendors, helping them access formal financial systems.
• To empower street vendors to become self-reliant (Atmanirbhar).

Key Features of PM SVANidhi Yojana

Eligibility Criteria

To apply for PM SVANidhi Yojana, the following eligibility criteria must be met:

• The applicant must be a street vendor operating in urban areas.
• The vendor should have been vending on or before March 24, 2020.
• Vendors with certificate of vending or identity cards issued by Urban Local Bodies (ULBs) are eligible.
• If a vendor does not have a certificate, they can be included through a letter of recommendation (LoR) from the ULB or Town Vending Committee.

Documents Required

• Aadhar Card (linked to mobile number)
• Voter ID/Driving License/PAN Card (any one for identity proof)
• Bank Account Details
• Certificate of Vending or Letter of Recommendation (LoR)

How to Apply for PM SVANidhi Yojana

Here’s a step-by-step guide to apply for the PM SVANidhi Loan:

Step 1: Visit the Official Website

Go to the official PM SVANidhi portal: https://pmsvanidhi.mohua.gov.in

Step 2: Registration

• Click on “Apply for Loan”.
• Enter your mobile number linked with your Aadhaar.
• Enter the OTP received and proceed.

Step 3: Select Vendor Category

You will have to select whether you have:

• Certificate of Vending
• Letter of Recommendation (LoR) from ULB
• Urban Local Body Survey Reference Number

Step 4: Fill Application Form

• Enter personal details like name, address, and business information.
• Upload necessary documents such as Aadhaar card, vending certificate, or LoR.

Step 5: Choose Lending Institution

• Select a bank or financial institution where you want to apply for the loan.
• Banks include SBI, PNB, Canara Bank, Axis Bank, etc.

Step 6: Submit Application

• Review the application form and submit it.
• You will receive an application reference number for tracking.

Check Application Status

You can check your loan application status on the same portal by clicking on “Track Application Status” and entering your application number.

Benefits for Street Vendors

• Immediate access to affordable credit.
• Encouragement to adopt digital payments, helping them modernize their businesses.
• Improved access to formal credit, which enhances their future borrowing capacity.

Conclusion

The PM SVANidhi Yojana is a transformative initiative that recognizes the vital role street vendors play in India’s urban economy. By offering easy access to working capital, the scheme not only supports livelihoods but also promotes financial inclusion, digital literacy, and self-reliance among the urban poor.

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