PM Street Vendor Atma-Nirbhar Nidhi

PM STREET VENDOR’s AtmaNirbhar NIDHI (PM SVANidhi)

• Working Capital Term loan
• At present, nature of advance is Working Capital Term Loan. Later, a view could be taken regarding allowing other forms of assistance viz. Overdraft, CC limit, etc.
• Further a Saving account / Current Account (along with Loan account) of borrowers is to be opened for the purpose of disbursing loan amount, facilitating collections, receiving digital incentives etc.

Street vendors (Vendors, hawkers, thelewala, rehriwala, theliphadwala etc.) play a significant role in ensuring availability of the goods and services at affordable rates at the door-step of the city dwellers in different areas. The goods supplied by them include vegetables, fruits, ready-to-eat street food, tea, pakodas, breads, eggs, textile, apparel, footwear, artisan products, books/ stationary etc.

The services include barber shops, cobblers, pan shops, laundry services etc. The COVID-19 pandemic and consequent lockdowns have adversely impacted the livelihoods of street vendors. They usually work with a small capital base and might have consumed the same during the lockdown. Therefore, there is an urgent need to provide credit for working capital to street vendors to resume their Business.

The scheme is a Central Sector Scheme by Ministry of Housing and Urban Affairs with the following objectives :

• To facilitate working capital Term loan up to Rs. 10,000;
• To incentivize regular repayment; and
• To reward digital transactions

The scheme will help formalize the street vendors with above Objectives and will open up new opportunities to this sector to move up the economic ladder.

The Scheme is available to all street vendors engaged in vending in urban areas as on or before March 24, 2020. The eligible vendors will be identified as per following criteria:

• Street vendors in possession of Certificate of Vending / Identity Card issued by Urban Local Bodies (ULBs);
• The vendors, who have been identified in the survey but have not been issued Certificate of Vending / Identity Card; Provisional Certificate of Vending would be generated for such vendors through an IT based Platform. ULBs are encouraged to issue such vendors the permanent Certificate of Vending and Identification Card immediately and positively within a Period of one month.