• The scheme was announced as a part of the Economic Stimulus-II under the Atmanirbhar Bharat Abhiyan in 2020 during the COVID period.
• It is a Central Sector Scheme under the Ministry of Housing and Urban Affairs
• Objectives
  • To facilitate collateral-free working capital loans to street vendors to restart their businesses.
  • Holistic development of street vendors by offering a reliable source of finance to support business expansion and opportunities for sustainable growth
  • Promote financial inclusion, digital payments, and identity/recognition to street vendors
• Implementing Agency: The Small Industries Development Bank of India (SIDBI)
• Other Feature
  • Working Capital Loans: Collateral-free loans provided in progressive tranches of Rs 15,000, Rs 25,000, and Rs 50,000. 
  • Interest Subsidy: 7% annual interest subsidy for timely or early loan repayment. 
  • Digital Incentives: Vendors can earn cashback for retail and wholesale digital transactions. 
  • Credit Expansion: Eligible vendors who repay their second tranche can obtain UPI-linked RuPay Credit Cards with limits up to Rs 30,000. 
  • Extended Timeline: The scheme’s lending period has been extended until March 2030. 
  • SVANidhi se Samriddhi (SSS): Conducts detailed socio-economic profiling of vendors and their families to seamlessly link them with eight selected Central Government welfare schemes, creating an institutional safety net.
  • FSSAI Food Safety Training: Collaborates directly with the Food Safety and Standards Authority of India (FSSAI) to provide specialized capacity building in local financial literacy, digital workflows, and hygiene standards.

Source: PIB