PM SVANidhi 2025: Updated Loan Limits, Eligibility, and How Street Vendors Can Apply

The PM SVANidhi scheme launched in 2020, offers financial support to street vendors affected by the COVID-19 pandemic. To support vendors in managing and upholding their business, it offers interest subsidies, low-interest working capital loans and digital payment promotion.

What is PM SVANidhi

The Pradhan Mantri Street Vendor's AtmaNirbhar Nidhi, or PM SVANidhi, is a central-sector microcredit program that was introduced by the Ministry of Housing and Urban Affairs (MoHUA) in June 2020. It offers working capital loans to street vendors without the need for collateral. The loan amounts have changed from August 2025 as first-tranche loans can now be up to Rs 15,000 (from Rs 10,000), second-tranche loans can now be up to Rs 25,000 (from Rs 20,000), and the third tranche can still be up to Rs 50,000.

The government has extended the PM SVANidhi scheme's lending period from 31 December 2024 to 31 March 2030. According to government data, the restructured scheme has a total outlay of Rs 7,332 crore and aims to benefit 1.15 crore street vendors, including 50 lakh new beneficiaries.

Key Features of the Restructured PM SVANidhi Scheme

Higher Loan Limits: First-tranche loans increased to Rs 15,000 (from Rs 10,000) and second-tranche loans to Rs 25,000 (from Rs 20,000); the third tranche remains Rs 50,000.

UPI-Linked RuPay Credit Card: Vendors can obtain a UPI-linked RuPay credit card, which gives them immediate credit for personal or company requirements after repaying the second loan.

Cashback Incentives: Both retail and wholesale vendors can earn up to Rs 1,600 in cashback through digital transactions.

Collateral-Free Loans with Interest Subsidy: The scheme provides working capital loans without requiring collateral, along with a 7 per cent per annum interest subsidy for timely repayments.

Who Can Apply

Eligible street vendors are those who possess an Identity Card or Certificate of Vending issued by Urban Local Bodies (ULBs). Vendors identified in surveys but without these documents, or those left out, can obtain a Letter of Recommendation (LoR) from the ULB by providing proof of vending, association membership, past loans for vending, or through a local verification request.

How to Apply

Online applications can be made through Common Service Centres (CSCs) or the PM SVANidhi portal. Basic information, including Aadhaar, mobile number, bank account, and evidence of selling, must be provided by vendors. After verification by the local urban body, banks approve the loan, which is directly credited to the vendor's account. Timely repayment makes them eligible for a higher loan in the next cycle.