PM SVANidhi scheme provides working capital term loans to urban street vendors in three tranches. Upon successful repayment of first and second tranches, the street vendor becomes eligible to avail second and third tranche loans respectively. This staggered lending structure prevents over-indebtedness and encourages sustainable repayment behaviour. In addition, UPI-linked RuPay Credit Cards have been introduced in the restructured PM SVANidhi scheme for street vendors who have successfully repaid the second tranche loan enabling them to meet immediate financial and business needs. Since the inception of the scheme in June, 2020 till 20 January, 2026, 71.57 lakh, 27.28 lakh and 6.61 lakh street vendor beneficiaries have availed the first tranche, second and third tranche loans respectively.

As per the findings of the scheme impact assessment study conducted by the Indian School of Business (ISB) in 2023 and 2025, average annualized business income among SVANidhi borrowers grew by around 20 percent, between 2023 and 2025. Further, around 30 percent of borrowers across all cycles reported holding formal loans which underscores the scheme’s role in building credit histories for vendors who previously had little or no access to formal credit.

 As on 02.02.2026, 15,184 applications for RuPay credit cards linked to UPI have been received across the country and 2,479 credit cards have been issued to street vendors.

Under the restructured PM SVANidhi scheme, the lending period under the scheme has been extended up to March 2030, and the scheme benefits have been extended to census towns, urban agglomerations, peri-urban areas, etc. in a graded manner, thereby creating increased livelihood opportunities.

State/ULBs are responsible for identification of eligible street vendors and mobilisation of new applications under the scheme. To enhance coverage and ensure wider inclusion of street vendor beneficiaries, the Ministry has undertaken several initiatives, including periodic awareness campaigns through radio jingles, television and newspaper advertisements. States and Union Territories are also regularly provided with Information, Education and Communication (IEC) materials in local languages to facilitate outreach and dissemination of scheme benefits among street vendors. Regular reviews are also conducted with States/UTs/ULBs.

Under the scheme, MoHUA has organized various campaigns and events to enhance outreach to street vendors. After the approval of the restructured PM SVANidhi scheme on 27th August 2025, Lok Kalyan Melas were organized in ULBs from 17th September 2025 to 15th October 2025. These Melas promoted the new features of the schemes and supported vendor mobilisation, loan application submission, faster loan disbursement, and digital onboarding of beneficiaries. Additionally, the ‘SVANidhi Sankalp Abhiyan’ was conducted from 3rd November, 2025 to 2nd December, 2025 across all States and Union Territories in a mission mode to clear pendency at both the bank and ULB levels.

ULBs, in collaboration with Digital Payment Aggregators (DPAs), also conduct regular digital literacy camps. To enhance digital onboarding and promote the adoption of cashless payments among street vendors, beneficiaries are provided cashback incentives.

This information was given by the Minister of State for Housing & Urban Affairs, Shri Tokhan Sahu in a written reply in the Rajya Sabha today.

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