Over 1 lakh street vendors get loan under PM scheme

3 months ago 18
google news

NEW DELHI: The government has sanctioned affordable working capital

loans

to more than one lakh

street vendors

under

PM atmanirbhar scheme

till Tuesday.
The processe to sanction loans under

PM SVANidhi

scheme was kicked off on July 2 to enable street vendors to re-start their businesses post Covid-19 lockdown.
"In 41 days of commencement of the lending process, the number of loan sanctions and number of applications received have crossed one lakh and five lakhs respectively on August 11," said an official.
The

PM

SVANidhi scheme was launched by housing and urban affairs ministry under the ‘AtmaNirbhar

Bharat Abhiyan

’. It aims at facilitating collateral free working capital loans upto Rs 10,000 of one year tenure to about 50 lakh street vendors in the urban areas, including those from the surrounding peri-urban/ rural areas.
Incentives in the form of interest subsidy at 7% per annum on regular repayment of loan, cashback upto Rs 1,200 per annum on undertaking prescribed digital transactions and eligibility for enhanced next tranche of loan have also been provided.
The street vendors mostly operate their businesses on very thin margins. The micro-credit support under the scheme is expected to provide not only major relief to such vendors but also help them climb the economic ladder, the government said.

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