HowIndiaEarns

Money for your businessloanChecked Oct 2026

PM SVANidhi (loans for street vendors)

Small working-capital loans for street vendors in three steps. Repaying one step on time opens the next, larger one.

First loan

Up to ₹15,000

For
Street vendors and hawkers in towns
Second loan
Up to ₹25,000
Third loan
Up to ₹50,000
Lending open until
31 March 2030
Digital payment cashback
Up to ₹1,600

What to know

  • The scheme was restructured by the Union Cabinet on 27 August 2025: the first loan rose from ₹10,000 and the second from ₹20,000.
  • Vendors who have repaid the second loan can get a UPI-linked RuPay credit card.
  • Coverage is being widened beyond statutory towns to census towns and peri-urban areas.
  • It is run by the Ministry of Housing and Urban Affairs, with banks lending under the Department of Financial Services.

How to apply

  1. Check that you are on your municipal body's street vendor survey, or get a certificate of vending or a letter of recommendation from the urban local body.
  2. Apply at a bank, a micro-finance lender or a Common Service Centre, or on the PM SVANidhi portal, with Aadhaar and a mobile number linked to it.
  3. Repay the first loan on time to become eligible for the second.

Official website

Ask before you apply

We could not confirm these points. Terms change, so ask and get the answer in writing.

AskWhere to ask
Is there an interest subsidy on the loan now, and how much?The lending bank, or the PM SVANidhi portal
I am not on the vendor survey. How do I get a letter of recommendation?Your municipal ward office or Town Vending Committee

Other ways to raise money

How to raise money for a business: the full guide

Sources

Scheme terms change by government order and differ between banks. Confirm everything with the bank or the scheme office before you commit money. Checked Oct 2026.