On Thursday, the government launched a mobile application to simplify the loan application process for street vendors under the PM SVANidhi scheme which marked its three-year anniversary. The PM SVANidhi scheme initiated by the Central government in 2020, aims to support street vendors in overcoming economic challenges caused by the pandemic.
This scheme offers collateral free of working capital loans, starting with ₹10k and subsequent loans of ₹20k and ₹50k with a 7% interest subsidy. To further assist street vendors, the Union Housing and Urban Affairs Minister, Hardeep Puri, introduced a new feature that allows easy access to the Udyam Registration Certificate which promotes their business. The Ministry of Small and Medium Enterprises collaborated in launching the ‘Udyam’ registration certificate, simplifying the business registration process.
During the launch, Minister Hardeep Puri acknowledged the commendable performance of states and lending institutions such as the State Bank of India, the Bank of Baroda, the Union Bank of India and the Andhra Pradesh Grameen Vikas Bank, which have effectively participated in the scheme. This initiative has successfully provided microcredit to over 3.6 million street vendors nationwide offering them the necessary financial support to sustain their businesses.