PM SVANidhi scheme is helping street vendors and small traders become self-reliant: Union Minister Dharmendra Pradhan

Mr Pradhan in a tweet said, "Rs 16,768 crore has been spent under the Rojgar Abhiyan till now generating 21 crore man-days of employment. PM SVANidhi is helping street vendors and small traders become self-reliant. More than 1 lakh loans have been sanctioned under this scheme since its launch in July 2020."

The Minister said Odisha has been among the top 10 states to benefit from the PM SVANidhi scheme. He added that collateral-free loans up to Rs 10,000 have been provided to street vendors in Sambalpur, Cuttack, Berhampur, Baleshwar and other towns of Odisha.

In a series of tweets, the Minister highlighted several people-centric programs of the government including Pradhanmantri Garib Kalyan Yojana and said that the programme has alleviated suffering and has been a boon for the poor. Pradhanmantri Garib Kalyan Yojana reflects the sensitivity of the Modi government towards the common man, he added.

PM SVANidhi Scheme envisages bringing 'Banks at the doorsteps' of these 'nano-entrepreneurs' by engaging the Non-Banking Financial Companies (NBFCs) and the Micro-Finance Institutions (MFIs) as lending institutions in addition to Scheduled Commercial Banks - Public & Private, Regional Rural Banks, Cooperative Banks, SHG Banks etc. The onboarding of the vendors on digital payment platforms is a very important component to build the credit profile of the vendors to help them become part of the formal urban economy.

Small Industries Development Bank of India (SIDBI) is the implementation partner for the scheme. A graded guarantee cover is provided, on a portfolio basis, to these lending institutions through Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) to encourage lending to street vendors.