Street Vendors Get a Boost: Budget 2025 Expands SVANidhi With UPI Credit, Bigger Loans

New Delhi: Finance Minister Nirmala Sitharaman , in her Union Budget 2025 speech, announced a revamp of the Prime Minister Street Vendors AtmaNirbhar Nidhi (PM SVANidhi) scheme to boost the incomes of urban poor by providing increased access to small working capital loans for street vendors.

Sitharaman said that PM SVANidhi scheme for street vendors will be revamped with enhanced loans from banks and UPI-linked credit cards with Rs 30,000 limit.

Union Minister Sitharaman in her budget speech said, “Our government has been giving priority to assisting urban poor and vulnerable groups. A scheme for the socio-economic upliftment of urban workers will be implemented to help them improve their incomes, have sustainable livelihoods and a better quality of life.”

"PM SVANidhi scheme has helped over 68 lakh street vendors, giving them respite from high-interest informal sector loans. Building on this success, the scheme will be revamped with enhanced loans from banks, UPI-linked credit cards with Rs 30,000 limit, and capacity-building support.” she added.

Presenting her eighth consecutive budget, Sitharaman said the scheme has benefited more than 68 lakh street vendors through respite from high interest informal sector loans.

PM SVANidhi was launched in 2020 to support street vendors impacted by the Covid-19 pandemic and lockdowns. The scheme allows vendors to avail loans of Rs 10,000, Rs 20,000, and Rs 50,000, and as of now, 95.84 lakh loans totaling Rs 13,741 crore have been disbursed.

In addition, Finance Minister Nirmala Sitharaman proposed an allocation of Rs 96,777 crore for the Housing and Urban Affairs Ministry, marking a 17% increase from the previous Budget 2024-2025 allocation of Rs 82,576.57 crore, though the revised estimate for 2024-2025 stood at Rs 63,669.93 crore.

(with agency inputs)