MONEY
Cabinet approves PM SVANidhi 2.0 with enhanced loan limits, RuPay card facility
- IBJ Bureau
- Aug 28, 2025
The Union Cabinet has today approved restructuring of Prime Minister Street Vendors’ Atma Nirbhar Nidhi (PM SVANidhi) Scheme. The Cabinet has also given approval for extension of the lending period beyond December 31, 2024. The lending period has now been extended until March 31, 2030.
Total outlay for the scheme is Rs 7,332 crore. The key features of the restructured scheme include enhanced loan amounts across the first and second tranches, provision of UPI-linked RuPay credit card for beneficiaries who have repaid the second loan and digital cash-back incentives for retail and wholesale transactions.
The first tranche of loan has been increased up to Rs 15,000 from Rs 10,000, and the second tranche has been raised up to Rs 25,000 from Rs 20,000, while the third tranche remains unchanged at Rs 50,000.
The restructured scheme aims to benefit 1.15 crore beneficiaries, including 50 lakh new beneficiaries. The coverage of the scheme is being expanded beyond statutory towns to census towns and peri-urban areas in a graded manner.
Introduction of UPI-linked RuPay credit card would provide immediate access of credit to street vendors to meet any emergent business and personal requirements. Street vendors can utilise cash-back incentives up to Rs 1,600 for making retail and wholesale transactions.
The government had initially launched PM SVANidhi Scheme on June 1, 2020, to support street vendors who faced unprecedented hardships during the COVID-19 pandemic. As of July this year, over 96 lakh loans amounting to Rs 13,797 crore have been disbursed to more than 68 lakh street vendors.
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