PM Modi reviews implementation of PM-SVANidhi Scheme

Prime Minister Narendra Modi

New Delhi (NVI): Prime Minister Narendra Modi today held a meeting to review the implementation of PM-SVANidhi Scheme which comes under the Ministry of Housing & Urban Affairs.

The Centre launched the PM SVANidhi Scheme to facilitate collateral free working capital loan upto Rs 10,000 with a tenure of one-year to approximately 50 lakh street vendors, to help them resume their businesses during the COVID-19 pandemic.

Loan processing under the scheme has begun since July 2, 2020 through an IT platform “PM SVANidhi” with Small Industries Development Bank of India (SIDBI), which is the implementing agency for the scheme administration.

During the meeting, it was informed that over 2.6 lakh applications have been received, over 64,000 have been sanctioned and more than 5,500 have been disbursed.

PM Modi expressed satisfaction on use of end-to-end IT solution through a web-portal and mobile App for administration of the Scheme to ensure transparency, accountability and speed.

While noting that the Ministry of Housing and Urban Affairs is working on a complete IT solution including mobile application for seamless implementation of the scheme, the PM said that the scheme design should invent use of end-to-end digital transactions by the street vendors. This should cover the entire gamut of their business – from procurement of raw material to collection of sale proceeds.

Appropriate incentives and training should be conducted for this purpose. Use of digital payments would also help build a credit profile for the street vendor helping them in future financial needs, Modi further added.

The Prime Minister also said that the scheme should not be just seen from the perspective for extending loans to street vendors. It should also be seen as a part of an outreach to the street vendors for their holistic development and economic upliftment.