New Delhi, June 1: Prime Minister Narendra Modi congratulated citizens and beneficiaries of the PM Svanidhi scheme on its sixth anniversary. He emphasized that this initiative has significantly transformed the lives of millions of street vendors. By providing loans without guarantees and facilitating financial inclusion, the scheme has empowered small businesses with new opportunities.
In a post on the social media platform X, PM Modi stated that the scheme represents not just financial assistance but also trust, dignity, and empowerment. He praised the hard work and entrepreneurial spirit of the beneficiaries, noting their contributions to strengthening the country’s economy.
The Prime Minister also shared a post from MyGov India, highlighting that six years of the PM Svanidhi scheme have not only brought change to street vendors’ lives but also instilled confidence, created new opportunities, and fostered hope for a better future. This initiative symbolizes PM Modi’s commitment to self-reliant India through self-employment, self-sufficiency, and self-respect.
An official statement released on May 30 noted that the PM Svanidhi scheme has emerged as a crucial initiative for millions of street vendors operating in India’s informal urban economy. Launched in 2020, the scheme aims to free vendors from dependence on moneylenders by providing them with institutional financial support. Today, it has expanded beyond just lending, becoming a significant vehicle for digital inclusion, social security, and financial empowerment.
According to government data, over 7.55 million beneficiaries have received more than 11.2 million loans under the scheme, with a total value exceeding ₹17,800 crores. Additionally, over 5.5 million beneficiaries have been connected to digital platforms, collectively conducting more than 841 million digital transactions worth nearly ₹8.96 lakh crores. To promote digital payments, beneficiaries have received approximately ₹800 crores in cashback and interest subsidies. Given its success, the scheme has been extended until March 2030.
Under this initiative, street vendors are provided with working capital loans without guarantees. Beneficiaries can receive loans in phases of ₹15,000, ₹25,000, and ₹50,000. Timely loan repayments qualify them for interest subsidies and credit guarantees. Vendors who successfully repay their second loan installment are eligible for a RuPay credit card linked to UPI, with a limit of up to ₹30,000. Cashback of up to ₹1,600 is offered to encourage digital transactions. Furthermore, through the ‘Svanidhi se Samriddhi’ program, beneficiaries and their families are connected to various central welfare schemes.
The statement further mentioned that beneficiaries receive training in financial literacy, digital literacy, and food safety and hygiene. This training is conducted in collaboration with the Food Safety and Standards Authority of India (FSSAI), helping small business owners operate their enterprises more effectively.
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