Surat/Bhagalpur, Jan 23 (NationPress) The Prime Minister's SVANidhi Scheme has significantly improved the lives and bolstered the economic status of numerous street vendors from Surat in Gujarat and Bhagalpur in Bihar.

On Friday, Prime Minister Narendra Modi launched a virtual credit card specifically designed for street vendors and distributed loans to over one lakh beneficiaries.

During a program organized by the Surat Municipal Corporation at the Surat Science Centre, Union Minister C.R. Patil presented cheques to street vendors and honored bank officials who facilitated these loans.

Surat Municipal Commissioner Shalini Agarwal mentioned that the credit card was introduced under the Prime Minister Street Vendors' AtmaNirbhar Nidhi (PM SVANidhi) scheme. The Surat Municipal Corporation has disbursed loans totaling approximately Rs 2.03 crore in amounts of Rs 10,000, Rs 20,000, and Rs 30,000 to over a lakh residents of Surat city.

The PM SVANidhi scheme is a micro-credit initiative by the Indian government, launched by the Ministry of Housing and Urban Affairs to provide affordable and collateral-free working capital loans to street vendors, aiding them in revitalizing their businesses. It emphasizes financial inclusion and digital empowerment through credit cards and interest subsidies aimed at socio-economic upliftment.

Initially developed as a Covid-19 relief measure, the scheme has been restructured to support business growth, offering loans up to Rs 50,000 in installments, along with incentives for digital transactions, thereby formalizing the urban informal economy.

Santosh Gupta, a beneficiary of the PM SVANidhi scheme from Surat and a vegetable vendor, shared that he received his first loan of Rs 10,000, which was converted into 12 EMIs of Rs 891. Upon successfully repaying his credit, he was granted a second loan of Rs 25,000.

"This initiative is extremely beneficial for small and medium street vendors, providing access to collateral-free loans ranging from Rs 25,000 to Rs 50,000 for business expansion," he expressed.

Another beneficiary, Santosh Mishra, also from Surat, mentioned receiving his first loan of Rs 10,000. "After repaying my first loan, I received a second loan of Rs 25,000 and then a third loan of Rs 50,000. Now, I have been approved for a credit card with a limit of Rs 10,000."

A fellow beneficiary, Mayuri Solanki, who sells fruits, received a loan of Rs 50,000 today.

Beneficiaries from Bhagalpur echoed similar sentiments, such as Anita Kumari, who initially received a loan of Rs 10,000 and is now set to receive Rs 25,000 from the bank.

Santosh Mishra added: "Previously, street vendors were at the mercy of local lenders who charged exorbitant interest rates. However, thanks to the PM SVANidhi scheme, street vendors can now live with greater ease, and their quality of life has improved."