Chennai, June 02: Marking six years of successful implementation, the Pradhan Mantri Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme continues to emerge as one of India’s most impactful urban micro-credit initiatives, transforming the lives of millions of street vendors and strengthening financial inclusion across the country.
Launched by the Government of India on June 1, 2020, during the COVID-19 pandemic, PM SVANidhi was designed to provide collateral-free working capital loans to street vendors whose livelihoods were severely affected by economic disruptions. Over the years, the scheme has evolved into a robust platform for empowering informal micro-entrepreneurs and integrating them into the formal financial ecosystem.
The scheme operates through a progressive lending model, enabling eligible vendors to access working capital loans and graduate to higher loan amounts upon timely repayment. As of May 29, 2026, PM SVANidhi has benefited 75.69 lakh street vendors, with 72.4% of beneficiaries actively engaged in digital transactions. The initiative has played a pivotal role in expanding financial literacy, encouraging formal banking habits, and helping vendors establish credit histories for future access to institutional finance.
Commenting on the occasion, Shri Ashok Chandra, Managing Director & CEO, Punjab National Bank, said: “PM SVANidhi has emerged as a landmark initiative in India‘s journey towards inclusive growth. By providing affordable and accessible credit, promoting digital transactions, and connecting beneficiaries to social welfare schemes, the programme has empowered millions of street vendors to become financially resilient and self-reliant.”
The scheme has also accelerated digital adoption among small businesses. Through cashback incentives of up to Rs. 1,600 annually, vendors are encouraged to adopt UPI and other digital payment modes, transforming traditional roadside businesses into digitally enabled enterprises.
PM SVANidhi has made significant contributions towards social inclusion and women’s empowerment. Approximately 69% of beneficiaries belong to OBC, SC, and ST communities, while women account for nearly 45% of the total beneficiaries, according to official data.
Recognizing the programme’s success, the Government of India has extended PM SVANidhi until March 31, 2030, with an enhanced financial outlay of Rs.7,332 crore and an ambitious target of reaching 1.15 crore beneficiaries.
Under the revamped framework, the first and second loan tranches have been increased to Rs.15,000 and Rs.25,000, respectively, while the third tranche remains Rs.50,000. Additionally, beneficiaries who successfully repay their second-tranche loans become eligible for a UPI-enabled RuPay Credit Card with an initial limit of Rs.10,000.
A key component of the extended scheme is the “SVANidhi se Samriddhi” initiative, which links vendors and their families to various social welfare programmes, including PM Jeevan Jyoti Bima Yojana, PM Suraksha Bima Yojana, and PM Jan Dhan Yojana, among others. This integrated approach combines financial assistance with social security and long-term well-being.
The scheme’s innovative implementation model, leveraging Aadhaar-based e-KYC, automated processing systems, and Direct Benefit Transfer (DBT), has been widely recognized for enhancing transparency, reducing intermediaries, and ensuring efficient service delivery. PM SVANidhi was also honoured with the prestigious Prime Minister’s Award for Excellence in Public Administration for Innovation.