PM SVANidhi Scheme 2.0 for street vendors soon

THE CENTRE WILL launch the PM SVANidhi Scheme 2.0 soon, to provide working capital loans of up to ₹50,000 with an interest subsidy of 7% per annum and UPI-linked credit cards with a limit of ₹30,000 to street vendors, official sources told FE.

- PRASANTA SAHU

PM SVANidhi - PM Street Vendor's Atma Nirbhar Nidhi - was launched in June 2020 with the aim to facilitate collateral-free working capital loans to street vendors to restart their businesses, which were adversely impacted by the Covid-19 pandemic. As of March 31, 2025, 6.8 million street vendors cumulatively got loans worth ₹13,792 crore through the scheme.

Under PM SVANidhi Scheme 1.0, the government was incentivising regular repayment of loans through an interest subsidy of 7% per annum and rewarding digital transactions, by way of cash-back up to ₹1,200 per year.

The extant scheme ended on March 31, 2025. In the Budget for 2025-26, the government announced a revamped scheme for street vendors.