How has the PM SVANidhi Scheme Empowered Street Vendors in 5 Years?

New Delhi, June 1 (NationPress) The PM SVANidhi scheme, initially launched as a micro-credit initiative amidst the Covid-19 pandemic, aimed at assisting street vendors and small businesses to navigate tough economic conditions. However, the scheme has proven to be a catalyst for many beneficiaries, who have transformed their financial situations into lasting enterprises and inspiring success stories.

Inaugurated by Prime Minister Narendra Modi on June 1, 2020, this micro-credit program has been a lifeline for numerous street vendors and small enterprises, significantly enhancing their livelihoods.

As the program marks its five-year milestone today (June 1), numerous beneficiaries across the nation have shared their transformative experiences with IANS, expressing their heartfelt appreciation for the Modi government.

In Bihar’s Bhagalpur, over 4,000 individuals have benefited from the scheme, opening new opportunities for underprivileged and unemployed youth in the area. Today, approximately 1,200 street vendors have availed loans of up to Rs 20,000 to establish their businesses.

Local shopkeepers, such as Sujit Sinha, Arbind Das, and Ganesh Gupta, have conveyed their profound gratitude to PM Modi for the support received.

The Deputy Mayor of Bhagalpur Municipal Corporation, Salauddin Ahsan, noted that nearly two dozen individuals have secured loans up to Rs 50,000 under this scheme.

The program offers loans in phases: up to Rs 10,000 in the first phase, Rs 20,000 in the second, and Rs 50,000 in the third. Following the repayment of one loan, traders can access the next phase of funding.

In Uttar Pradesh’s Chandauli district, local retailers reported significant business expansions due to this initiative.

In Chhattisgarh’s Bemetra district, Chaileshwar Verma, who received a Rs 10,000 loan, successfully revived his fruit shop, achieving self-reliance.

“I used the Rs 10,000 loan to restart my business, and now it thrives,” he stated.

Another district in Chhattisgarh, Kawardha, also showcases the scheme’s success, as many small business owners and street vendors have benefitted from the Central government’s support under the PM-SVANidhi initiative.

Vikas Devangan and Narendra Kumar, residents of Pandaria Municipality in Kabirdham district, received two installments of Rs 20,000 under the scheme, enabling them to relaunch their tea and grocery shops.

In Karnataka’s Tumkur district, several women street vendors recounted their struggles during the pandemic and highlighted how the scheme assisted them in overcoming challenges.

Lalita, a beneficiary, shared her experience of financial hardship during Covid when local lenders refused to provide loans. After being granted a Rs 10,000 loan through the PM SVANidhi scheme, she managed to repay it by selling fruits and vegetables on the streets, expressing gratitude to the government for supporting her livelihood during challenging times.

Radha, a flower vendor, faced difficulties sustaining her business during the pandemic. The Rs 10,000 loan from the PM SVANidhi scheme helped her enhance her flower-selling business and achieve financial security. After successfully repaying her first loan, she secured an additional Rs 20,000 loan that assisted with rent and her children's education.

Jayamma, a vegetable vendor in Tumkur, shared how the PM SVANidhi scheme provided her with stability, stating, “Before this scheme, high-interest private loans made it impossible to sustain my business.”

She expressed her gratitude to the government, noting that the scheme significantly improved her capacity to support herself and her family.

Launched during the Covid-19 pandemic on June 1, 2020, the PM SVANidhi scheme offers collateral-free loans up to Rs 50,000 for eligible street vendors in incremental amounts. The loans are distributed in three phases: the first tranche provides Rs 10,000, the second Rs 20,000, contingent upon repayment of the first, and the third Rs 50,000 upon repayment of the second loan.