India / PM SVANidhi scheme gave street vendors identity: PM Modi

New Delhi: Prime Minister Narendra Modi on Wednesday said the PM Street Vendors’ Aatmanirbhar Nidhi (PM SVANidhi) scheme has given an identity to lakhs of hawkers who were not officially accounted for earlier, and the government is working to extend other benefits, including Ayushman Bharat, to this network of traders.

Modi was addressing beneficiaries of the PM SVANidhi scheme from Madhya Pradesh, which has approved the most number of loans under the plan among states.

In June, the Ministry of Housing and Urban Affairs had launched the scheme which gives special micro-credit facility to provide affordable loan of up to ₹10,000 to more than 50 lakh street vendors, who had their businesses operational on or before 24 March. The scheme is valid until March 2022.

The scheme was announced by union finance minister Nirmala Sitharaman in May to ensure that street vendors can resume work after their livelihoods were affected due to an extended lockdown and restrictions due to covid-19.

“The aim of the scheme is to give a fresh start to street vendors. This is the first time that the network of street vendors has been attached to the system and they have been given an identity. The scheme makes it possible for them to get capital through which they access to easy loans," PM Modi said. "We need to ensure that enough people know about this scheme so they can avail benefits. Technology has been used that street vendors do not need to stand in long lines to submit their forms."

According to officials in the housing and urban affairs ministry, 10 lakh applications from street vendors across the country have been received, of which the government has already sanctioned over 3.5 lakhs and loan amounts have been disbursed to over 1.5 lakhs.

“If the loan is paid off in a year then there is further reduction in interests. If digital payments are used then the government will give cash back incentives. This way, the savings will be more than the interests. The benefits will be more if you take a loan a second time," he added.

During his address, PM Modi also interacted with street vendors from Madhya Pradesh who had already received loans under the scheme. He said the government is working to ensure they get access to other schemes of the central government.

“The government is working on another scheme for street vendors. Those who will be attached with this scheme, the government will ensure that they get benefits of all the other government schemes including Ujjwala, Ayushman Bharat. We want the world market to be connected to our villages," he said.