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PM SVANidhi: Over 70% profiled street vendors given loans in J&K

July 22, 2022

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More than 70 percent of street vendors and their family members profiled have availed loans under PM SVANidhi scheme in Jammu and Kashmir.

The Ministry of Housing & Urban Affairs launched a scheme PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) to empower Street Vendors by not only extending loans to them, but also for their holistic development and economic upliftment.

Union Minister of State for Housing & Urban Affairs Kaushal Kishore shared the details in a written reply to a query asked by BJP leader Gopal Chinnaya Shetty. Responding to Shetty’s question, Kishore elaborating on PM SVANidhi scheme has shared that a total of 21, 327 street vendors and their Family Members profiled in Jammu and Kashmir, who have availed 747 sanctions.

In the first cycle the 14,161 loans were disbursed to street vendors beneficiaries in J&K under which 14.14.37 lakhs were disbursed to them. While in the second cycle 1520 loans were disbursed to street vendors under which 302.98 lakhs were disbursed to them and in the third cycle only one loan worth Rs.50,000 was disbursed. An amount of Rs.36.20 lakhs and Rs.1.85 lakh has been paid as interest subsidy and cash back respectively till July 12 in J&K.

The scheme intends to facilitate collateral free working capital loans of up to Rs.10,000 of one-year tenure, to approximately 50 lakh street vendors, to help resume their businesses in the urban areas, including surrounding peri-urban/rural.

Elaborating on PM SVANidhi scheme- the date on which the above scheme has been implemented; the details of the achievements of the above scheme as on date State-wise shared that Scheme was launched on June 1, 2020 to facilitate collateral free working capital loan upto Rs.10,000 of 1 year tenure to street vendors to restart their businesses, which were adversely impacted during the Covid-19 pandemic.

Overall in the country 28,68, 777 street vendors and their Family Members profiled in who have availed 25,80, 121 sanctions since the start of the scheme in 2020. The scheme provides incentives in the form of interest subsidy @ 7% per annum on regular repayment of loan and cash-back upto Rs.100 per month on undertaking prescribed digital transactions. Further, on timely or early repayment, the vendors are eligible for enhanced working capital loan of Rs20,000 and Rs.50,000 respectively during the next cycle.

Later on, ‘SVANidhi se Samriddhi’ initiative, designed to build safety net for the beneficiaries’ families by linking them to existing eight socio-economic welfare schemes of the Government of India was added to the Scheme. It was launched in 125 Urban Local Bodies (ULBs) in the first phase on 4th January, 2021 and extended for 126 ULBs on 12th April, 2022.

The Scheme also facilitates on-boarding of beneficiary Street Food Vendors to e-commerce platforms to serve their customers online. 33.37 lakh loans amounting to Rs.3,621 crores have been disbursed across the country till July 12, 2022. An amount of Rs.54.42 crores and Rs12.94 crores has been paid as interest subsidy and cash back respectively till July 12. As on July 12, 2022, socio-economic profiling of 28.68 lakh beneficiaries and their family members has been completed and 25.80 lakh scheme sanctions have been facilitated. 9,198 Street Vendors have been on-boarded on the ecommerce platforms till July 12.