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PM SVANidhi app launched to provide micro-credit facility for street vendors at their door steps

PM SVANidhi app launched to provide micro-credit facility for street vendorsOn July 17, 2020, a mobile Application of Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) was virtually launched by Durga Shanker Mishra, Secretary, Ministry of Housing and Urban Affairs (MoHUA) from New Delhi, in order to bring paper-less Microcredit facility for street vendors at their door steps and also to give impetus to the implementation strategy of the Scheme.

  • The aim of the app is to ease the sourcing and processing of loan applications of street vendors under the Scheme by providing user friendly digital interface for Lending Institutions (LIs) and their field functionaries like Banking Correspondents (BCs) and Agents of Non-Banking Financial Companies (NBFCs)/ Micro-Finance Institutions (MFIs).
  • Notably, field functionaries have proximity with the street vendors, which will ensure maximum coverage of the Scheme. 

The App can be downloaded from the Google play store for use by the LIs and their field functionaries.

About PM SVANidhi:

MoHUA has launched PM SVANidhi (PM स्वनिधि ) – PM Street Vendor’s AtmaNirbharNidhi on June 01, 2020 for providing affordable Working Capital loan to 50 lakh street vendors to resume their livelihoods that have been adversely affected due to Covid-19 lockdown. As a part of the scheme, the street vendors, who had their businesses operational on or before 24 March, 2020 can avail a working capital loan of up to Rs. 10,000 which is repayable in monthly instalments in the tenure of one year. The loaning will commence from July 2020.

  • The government had underlined that an interest subsidy of 7 per cent will be credited back to the beneficiaries who repay timely. Also, the vendors can avail the facility of the increased credit limit on timely repayment.
  • Since the commencement of lending process under PM SVANidhi on July 02, 2020, more than 1,54,000 Street Vendors have applied for working capital loan across States/ UTs and out of which over 48,000 have already been sanctioned. 
  • The duration of the scheme is till March 2022 and is being implemented though Small Industries Development Bank of India (SIDBI).

About Ministry of Housing and Urban Affairs (MoHUA):
Minister for State (MoS)– Hardeep Singh Puri (Constituency- Uttar Pradesh)