Editorial Disclaimer: Smart Update24 verifies information through official websites, government notifications, and trusted sources before publication. Our team also conducts independent research and analysis to provide accurate information to readers; however, users are advised to verify important details from the respective official websites for final confirmation.
PM SVANidhi Scheme 2026: PM SVANidhi (A Scheme for the Dignity & Growth of Our Street Vendors) is a Central Sector Scheme launched on 1st June 2020 by the Ministry of Housing and Urban Affairs. It aims to provide affordable working capital loans to street vendors to resume their livelihoods post COVID-19.
For millions of street vendors across India, access to affordable credit can make the difference between surviving and growing a business. The PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme has been designed to provide exactly that. It offers collateral-free working capital loans, rewards timely repayment, and encourages digital transactions.
If you are a street vendor or know someone who runs a small roadside business, here’s everything you need to know about the PM SVANidhi Scheme, including eligibility, loan amounts, benefits, documents required, and how to apply.
What is PM SVANidhi?
PM SVANidhi (Prime Minister Street Vendor’s AtmaNirbhar Nidhi) is a Central Government micro-credit scheme launched by the Ministry of Housing and Urban Affairs (MoHUA) on 1 June 2020. The scheme was introduced to help street vendors recover from the economic impact of the COVID-19 pandemic by providing affordable working capital loans. Over time, it has evolved into a long-term financial inclusion programme that supports business growth and digital adoption.
Loan Amount Under PM SVANidhi
The scheme provides loans in three stages. Vendors who repay each loan on time become eligible for the next, higher loan amount.
| Loan Cycle | Maximum Loan Amount |
| First Loan | Rs.15,000 |
| Second Loan | Rs.25,000 |
| Third Loan | Rs.50,000 |
The third loan of up to Rs.50,000 is available only after successful repayment of the previous loans as per the scheme guidelines.
Key Benefits of the Scheme
PM SVANidhi offers more than just financial assistance. Some of its major benefits include:
- Collateral-free working capital loan.
- No processing fee.
- Opportunity to receive higher loan amounts after timely repayment.
- 7% annual interest subsidy credited directly to the beneficiary’s bank account.
- Cashback incentives for digital transactions.
- Improved access to formal banking and financial services.
- Better credit history for future business loans.
Who Can Apply?
The scheme is meant for eligible street vendors operating in urban and peri-urban areas.
Generally, applicants should be:
- Street vendors identified in Urban Local Body (ULB) surveys.
- Vendors holding a Certificate of Vending or Identity Card.
- Vendors with a Letter of Recommendation issued by the ULB or Town Vending Committee.
- Eligible vendors operating in notified city regions covered under the scheme.
Documents Required
Applicants may need:
- Aadhaar Card
- Mobile Number
- Bank Account Details
- Certificate of Vending or Identity Card
- Letter of Recommendation (if applicable)
- Other KYC documents accepted by the lending institution
The exact document requirements may vary depending on the lending institution and applicant category.
How to Apply for PM SVANidhi Scheme- Step-by-Step Process
Eligible vendors can apply through the official PM SVANidhi portal or with assistance from participating banks, Common Service Centres (CSCs), or Banking Correspondents.
The application process generally includes:
- Visit the official PM SVANidhi portal: https://pmsvanidhi.mohua.gov.in/
- Choose the appropriate loan category.
- Verify your mobile number using an OTP.
- Complete Aadhaar verification.
- Fill in personal, business, and bank details.
- Upload the required documents.
- Submit the application and select your preferred bank branch.
- Track the application status online after submission.
Interest Subsidy and Digital Cashback
One of the biggest advantages of PM SVANidhi is its incentive-based approach.
Beneficiaries who repay their loans on time receive a 7% annual interest subsidy, which is transferred directly to their bank accounts. The scheme also encourages cashless transactions by offering cashback incentives for eligible digital payments made through approved platforms.
