The Pradhan Mantri Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme has emerged as a key livelihood support programme for urban informal workers in Jammu and Kashmir, with more than 17,000 street vendors brought under its ambit and nearly Rs 48 crore disbursed as collateral-free working capital loans till December.
Launched in June 2020 by the Ministry of Housing and Urban Affairs, PM SVANidhi was designed to help street vendors recover from the economic shock caused by the Covid-19 pandemic. In J&K, where a large section of the urban workforce depends on small-scale vending for daily income, the scheme has gradually evolved into a critical source of livelihood stabilisation.
Officials said the majority of beneficiaries availed the first tranche of loans, which provides working capital of up to Rs 10,000, now enhanced under revised guidelines. A significant number of vendors who repaid their initial loans on time have also moved to higher credit limits, reflecting improved credit discipline and business continuity.
“Street vendors who were earlier dependent on informal borrowing are now accessing institutional finance at subsidised rates. This has helped them restart businesses, replenish stock and meet household expenses,” an official associated with the implementation of the scheme said.
The scheme has been implemented primarily through Urban Local Bodies and banking institutions, with vendor identification carried out by municipal authorities in cities and towns. Letters of Recommendation were issued in cases where vendors lacked formal vending certificates, ensuring wider inclusion.
Beyond credit, PM SVANidhi has also promoted digital transactions among street vendors. Beneficiaries are encouraged to adopt UPI and QR-based payments through cashback incentives, contributing to the gradual integration of small traders into the digital economy.
However, the rollout has not been without challenges.
In some urban areas, vendors have flagged concerns over displacement due to redevelopment and anti-encroachment drives, arguing that access to credit must be accompanied by secure vending spaces.
With the scheme now extended at the national level and higher loan limits being rolled out, the administration expects further expansion of PM SVANidhi coverage in Jammu and Kashmir. Officials say the focus in the coming months will be on saturation, timely repayment, and linking vendor families with other social security schemes.
As urban centres in the Union Territory continue to evolve, PM SVANidhi is increasingly being viewed not just as a post-pandemic relief measure, but as a long-term tool for strengthening the informal economy and supporting thousands of families dependent on street vending for their livelihoods.
