All you need to know about the Pradhan Mantri Street Vendor’s Atmanirbhar Nidhi Scheme

The post lockdown phase hasn’t been all that kind towards business, across the globe. However, with people being restricted to go out without an iron-clad reason and proliferation on online grocery stores, street vendors have had to face the scourge of this massive threat.

However, way back in 2020, the Indian Government quickly ascertained the issues encountered by these vendors and launched the credible ‘Atmanirbhar Nidhi Scheme’ or the PM SVANidhi policy to help these sellers acquire some working capital to redeem their business.

More about the PM SVANidhi Lending Scheme

Before you delve deeper into this discussion, you must know that, unlike a subsidy, this scheme aims at providing a credit value of up to Rs. 10,000. However, unlike a personal or even a business loan, the SVANidhi loan comes at a subsidized interest rate, aimed at incentivizing procurement. Plus, the scheme has a two-pronged target, which includes vendor appeasement and even the popularity of digital payments, as the latter even attracts a 30 percent interest cashback.

PM SVANidhi Loan Features

Before you consider applying for the Atmanirbhar Nidhi Scheme, it is essential to be aware of the essential features, which include a working capital value of up to Rs. 10,000. Plus, the interest rate for the same is a mere 7 percent, which is one of the better bets for street vendors. Also, the lower interest rate ensures improved sustainability for the vendors who might find it hard to pay higher rates.

Finally, vendors can also get their hands on cash-backs, provided they resort to digital transactions. Not just that, if the vendors can pay their liabilities in time, they can even amplify the loan eligibility. However, you should know that the loan timeline expires in the month of March 2022.

Plus, if the concept of cashback excites you as a vendor, you must know that Rs. 50 are directly transferred for 50 digital transactions. This feature empowers the street vendors with a digital transactional line, which allows them to accept and make payments, in a contactless manner.

Credentials to Consider

If you plan on applying for the PM SVANidhi loaning scheme, you must have the requisite documents and credentials handy. These include the PAN card, MNREGA card, Aadhar card, Voter ID, or driving license. Plus, in the first application bout, you must visit the concerned financial institution and connect with the concerned banking correspondent to get the process underway.


For more of such useful information and a variety of business loans to choose from, head over to Finserv MARKETS.