Loans Worth Rs 1,751 Crore Approved for Underprivileged Artisans Under the PM Vishwakarma Initiative
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New Delhi, Dec 11 (NationPress) Banks have granted loans totaling Rs 1,751 crore to economically disadvantaged artisans including blacksmiths, masons, potters, carpenters, and tailors under the PM Vishwakarma scheme as of October 31, as disclosed to the Parliament.
The Minister of State for Finance, Pankaj Chaudhary, stated in a written response in the Rajya Sabha that the government has implemented several initiatives to address the challenges faced by borrowers, especially in rural regions, aiming to ensure the smooth flow of credit to meet their requirements.
As reported by the minister, more than 2.02 lakh accounts have been established under the PM Vishwakarma scheme, with a cumulative sanctioned loan amount of Rs 1,751.20 crore.
Launched on September 17, 2023, the PM Vishwakarma scheme is designed to offer comprehensive support to artisans and craftspeople who utilize their hands and tools. These traditional artisans and craftspeople are collectively known as 'Vishwakarmas'. The total financial allocation for the scheme from FY 2023-2024 to FY 2027-28 is Rs 13,000 crore.
Data from the National Skill Development Corporation (NSDC) indicates that the PM Vishwakarma Scheme has achieved significant progress, with 2.58 crore applications submitted thus far, and 23.75 lakh applicants successfully registered to receive benefits following a three-stage verification process.
Nearly 10 lakh individuals have benefited from toolkit incentives of up to Rs 15,000, provided through e-vouchers to purchase modern tools relevant to their trades.
The loans made available to artisans carry a 5 percent interest rate, with the government subsidizing this rate. The Government of India offers an 8 percent interest subvention, which effectively lowers the total loan cost. The repayment period is structured to span 18 months for the first tranche and 30 months for the second tranche.
The PM Vishwakarma Scheme encompasses artisans and craftspeople from 18 trades who work with their hands and tools. The primary goal of the scheme is to empower traditional artisans and craftspeople to become entrepreneurs and achieve self-sufficiency.
Formal training in the form of Basic Skill Training has been initiated for the enhancement and modernization of traditional skills among artisans and craftspeople under the PM Vishwakarma Scheme across 26 States/UTs of the country.
