Union Minister of State for Finance Dr. Bhagwat Karad reviews functioning of PM SVANidhi Scheme, appeals bankers to accelerate coverage of SVANidhi loans to the poor
Appreciates MC Chandigarh for implementing vendors welfare schemes through PMSVANidhi and other initiatives
Chandigarh, August 25: – Greater economic inclusion of the people in rural and urban areas will accelerate the country’s economy, said Minister of State for Finance Dr. Bhagwat Karad. He was speaking at a review meeting of Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme, held in Chandigarh today.
The Minister conducted a detailed review of PMSVANidhi scheme during North Zonal Convention including states Punjab, Haryana, Himachal Pradesh, Jammu and Kashmir, Ladakh and Chandigarh. The Municipal Corporation Chandigarh hosted the convention, held at Hotel Mountview, here today.
MoS Finance has advised Banks and Govt. Authorities to achieve saturation of social security schemes and also advised to focus and speed up the process of sanctioning of loans under PMSVANidhi. The Minister further advised to organise camps at village levels to provide various Banking services.
While addressing the media persons, he said that region-wise meetings are being held to give the benefit of the central scheme to the hawkers in the municipal area and to increase awareness about it. Vendors who have a bank account, Aadhaar number and are registered with the Municipal Corporations can get the benefit of the scheme. Initially, 10,000 rupees loan is given and those making timely payment can get additional loan for 20 thousand and then 50 thousand rupees. The Minister appealed that the target decided in the meeting should be achieved within a month and that the benefits of the Pradhan Mantri SVANidhi Yojana should be given to the poor.
He said that PM SVANidhi is a central-sector micro-credit scheme launched on 1st June 2020 by the Ministry of Housing and Urban Affairs (MoHUA) to provide handholding support to street vendors. The scheme facilitates a working capital collateral-free loan of ₹10,000, with subsequent loans of ₹20,000 and ₹50,000 with a 7% interest subsidy. The scheme focuses on increasing the digital footprint in India by promoting the use of digital transactions among street vendors. To incentivize the adoption of digital transactions, a cashback of up to ₹100 per month is given to Street Vendors. The scheme aims to formalize the street vendors and open up new opportunities for this sector to move up the economic ladder, added the Minister.
The Minister said that efforts for the economic upliftment of the poor are being made at three levels. These are firstly, efforts to open accounts for those who do not have bank accounts; secondly to provide the benefits of the insurance scheme to the general public and thirdly, to make finance available to those who are deprived of financial assistance.
The convention witnessed lively discussions and insightful presentations by representatives from states including Punjab, Haryana, Himachal Pradesh, Jammu & Kashmir, and Ladakh. These presentations showcased the progress made and targets achieved under the PM SVANidhi Scheme, highlighting the positive impact on the lives of street vendors. The collective commitment and collaborative spirit demonstrated during the convention underscored the shared vision of creating an inclusive and prosperous environment for street vendors to thrive.
The MoS appreciated the efforts of the Municipal Corporation Chandigarh (MCC) which has set an ambitious goal to complete the remaining target within the next month, demonstrating their unwavering commitment to the welfare of street vendors. This outstanding achievement reflects the effectiveness of the scheme in Chandigarh and serves as an inspiration for other regions to emulate.
In her welcome address, the MC Commissioner Ms. Anindita Mitra, IAS emphasized the transformative impact of the PM SVANidhi Scheme on the lives of street vendors. She highlighted the comprehensive support provided by the scheme, including access to affordable working capital loans, skills training, and institutional mechanisms for their holistic development. Commissioner Mitra applauded the collaborative efforts of all stakeholders, including the government, financial institutions, and vendors themselves, in creating an ecosystem that fosters entrepreneurship and stability. She reiterated the commitment of the Municipal Corporation of Chandigarh to continue working towards the complete fulfillment of the scheme’s targets, ensuring the welfare and prosperity of street vendors in the city.
Other dignitaries were present during the review meeting including Joint Secretary, MoHUA, Shri Rahul Kapoor, Joint Secretary, Ministry of Finance Shri Prashant Goyal, City Mayor Shri Anup Gupta, Secretary Local Government Sh. Nitin Kumar Yadav, Municipal Commissioner Ms. Anindita Mitra, and representatives from various states, union territories, and banks.
