Budget 2025-26 Aims to Enhance Incomes of Street Vendors and Revitalize Urban Areas
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Synopsis
Union Finance Minister Nirmala Sitharaman announced a Rs 1 lakh crore fund for urban development and a revamped PM SVANidhi scheme to boost street vendor incomes, emphasizing the government's commitment to supporting urban poor and fostering inclusive growth.
Key Takeaways
- Establishment of a ₹1 lakh crore Urban Challenge Fund.
- Revamp of PM SVANidhi to enhance street vendor support.
- Focus on socio-economic uplift of urban workers.
- Enhanced loan facilities for street vendors.
- Commitment to sustainable urban development.
New Delhi, Feb 1 (NationPress) Union Finance Minister Nirmala Sitharaman on Saturday unveiled a substantial Rs 1 lakh crore fund aimed at advancing urban development and announced a significant overhaul of the Prime Minister Street Vendors Atma Nirbhar Nidhi (PM SVANidhi) to improve the financial conditions of street vendors as part of her Budget proposals.
“Our government has consistently prioritized the support of urban poor and vulnerable populations. A new initiative focused on the socio-economic advancement of urban workers will be launched to assist them in increasing their incomes, attaining sustainable livelihoods, and enhancing their quality of life,” stated the Finance Minister.
She further mentioned that the PM SVANidhi initiative has already aided over 68 lakh street vendors, alleviating their reliance on high-interest loans from informal sectors.
“Building upon this achievement, the scheme will be revamped to offer improved loans from banks, UPI-linked credit cards with a limit of Rs 30,000, and support for capacity building,” she added.
The Finance Minister highlighted that the Budget for 2025-26 prioritizes urban development, establishing a ₹1 lakh crore Urban Challenge Fund to facilitate projects such as transforming cities into growth centers, creatively redeveloping urban areas, and enhancing water and sanitation services.
Minister for Housing and Urban Affairs Manohar Lal indicated that the formation of the Urban Challenge Fund showcases the government's unwavering dedication to promoting sustainable and inclusive urban growth.
He emphasized that the 2025-26 Budget sets a robust groundwork for Viksit Bharat by spearheading transformative reforms in urban development, housing, and infrastructure.
He also noted that the reformed PM SVANidhi scheme, which has already benefited over 68 lakh street vendors, will further facilitate access to enhanced bank loans, offer UPI-linked credit cards with a Rs 30,000 limit, and provide capacity-building support to empower these vendors.
“This Budget reaffirms our government’s pledge to ensure that urbanization benefits every citizen,” he remarked.
Manohar Lal pointed out that this Budget aspires to instigate transformative reforms in six critical sectors over the upcoming five years, focusing on amplifying growth potential and bolstering global competitiveness.
“Urban Development stands as a primary focus, aimed at modernizing cities, enhancing infrastructure, and improving urban living standards,” he added.
The PM SVANidhi scheme was initiated in 2020 during the pandemic, which severely impacted street vendors.
Through this scheme, vendors can access loans of Rs 10,000, Rs 20,000, and Rs 50,000. To date, around 95.84 lakh loans amounting to Rs 13,741 crore have been disbursed.
