Union Parliamentary Affairs Minister Kiren Rijiju on Monday, 1 June 2026 marked the sixth anniversary of the PM SVANidhi scheme, stating that the micro-credit programme has empowered over 75 lakh street vendors with formal financial support, digital access, and greater economic security.

Context

PM SVANidhi — the PM Street Vendor's AtmaNirbhar Nidhi scheme — was launched on 1 June 2020 as part of the Atmanirbhar Bharat Abhiyan, the central government's economic relief package in response to the COVID-19 pandemic. The scheme was designed to extend collateral-free working capital loans to street vendors whose livelihoods had been disrupted by lockdowns. Rijiju's post, carrying the hashtag #6YearsofPMSVANidhi, described the programme as 'turning resilience into opportunity and livelihoods into engines of growth.'

The scheme provides working capital loans of up to Rs 50,000 to eligible street vendors, with successive loan tranches available to those who repay on time. Digital onboarding and UPI-linked transactions have been central to the programme's design, connecting informal vendors to the formal financial ecosystem for the first time.

Policy Backdrop

The Ministry of Housing and Urban Affairs is the nodal ministry responsible for implementing PM SVANidhi, working through urban local bodies and state governments to identify and onboard eligible vendors. The scheme sits within a broader architecture of financial inclusion initiatives, building on earlier programmes such as Jan Dhan accounts and Mudra loans, while adding a vendor-specific focus on working-capital needs.

The programme's emphasis on digital payments has been used to generate a credit history for vendors who previously operated entirely outside the formal banking system. This credit footprint is intended to improve their access to mainstream financial products over time, reducing dependence on informal moneylenders who typically charge significantly higher interest rates.

Stakeholders and Impact

Street vendors constitute a significant segment of India's urban informal workforce, operating across cities and towns as mobile traders, push-cart sellers, and small-stall owners. The scheme's stated beneficiary count of over 75 lakh vendors, as cited by Rijiju, reflects the scale at which the government has sought to extend formal credit to this traditionally excluded group.

For beneficiaries, the practical impact includes access to interest subsidy on prompt repayment, a pathway to larger loan tranches, and integration with digital payment infrastructure. Urban local bodies have been tasked with vendor surveys and issuance of certificates of vending, which serve as the entry point into the scheme.

What's Next

Parliamentary scrutiny of PM SVANidhi's performance — including repayment data, beneficiary verification, and state-wise coverage — is expected during upcoming legislative sessions. Any announcements on further loan tranches, enhanced credit limits, or integration with new urban livelihood missions would represent the next phase of the programme's evolution.

As the scheme enters its seventh year, the government's focus is likely to shift toward deepening financial inclusion outcomes — ensuring that vendors who have completed multiple loan cycles are graduating into broader formal credit markets, sustaining the programme's original promise of turning street vending into a stable, dignified livelihood.