Cabinet restructures PM SVANidhi and extends lending period till 31 March 2030 with ₹7,332 crore outlay
The Union Cabinet on 27 August 2025 approved restructuring of the PM SVANidhi scheme for street vendors, extending its lending period to 31 March 2030 with a total outlay of ₹7,332 crore.
Summary
The Union Cabinet approved on 27 August 2025 the restructuring and extension beyond 31 December 2024 of the Prime Minister Street Vendor's AtmaNirbhar Nidhi (PM SVANidhi) scheme, with the lending period extended to 31 March 2030 and a total outlay of ₹7,332 crore. The restructured scheme aims to benefit 1.15 crore beneficiaries, including 50 lakh new ones, and will be jointly implemented by the Ministry of Housing & Urban Affairs and the Department of Financial Services. First-tranche loans rise to ₹15,000 from ₹10,000 and second-tranche loans to ₹25,000 from ₹20,000, while the third tranche stays at ₹50,000. Vendors who repay the second loan get a UPI-linked RuPay credit card, digital cashback of up to ₹1,600 is offered, and coverage will be extended in a graded manner to census towns and peri-urban areas. The scheme was launched on 1 June 2020.
Key facts
- Decision
- Union Cabinet, 27 Aug 2025
- Lending period
- Extended till 31 Mar 2030
- Outlay
- ₹7,332 crore
- Beneficiaries
- 1.15 crore incl. 50 lakh new
- Implementation
- MoHUA + Department of Financial Services
- Loan tranches
- ₹15,000 (from ₹10,000); ₹25,000 (from ₹20,000); ₹50,000 unchanged
- New features
- UPI-linked RuPay credit card after 2nd loan repaid; cashback up to ₹1,600
- Launched
- 1 June 2020
Practice MCQs 4 questions
Under the restructuring approved on 27 August 2025, the lending period of the PM SVANidhi scheme has been extended till:
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Correct answer: C — 31 March 2030
The Cabinet extended the lending period of PM SVANidhi until 31 March 2030.
Under the restructured PM SVANidhi scheme (August 2025), the first-tranche loan amount has been raised to up to:
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Correct answer: A — ₹15,000
First-tranche loans rise to ₹15,000 from ₹10,000; second-tranche loans rise to ₹25,000 from ₹20,000.
What is the total outlay of the restructured PM SVANidhi scheme approved by the Cabinet in August 2025?
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Correct answer: D — ₹7,332 crore
The total outlay is ₹7,332 crore; ₹13,797 crore is the amount of loans already disbursed as of 30 July 2025.
Consider the following statements about the restructured PM SVANidhi scheme (August 2025): 1. A UPI-linked RuPay Credit Card will be provided to beneficiaries who have repaid the second loan. 2. The third-tranche loan has been raised from ₹50,000 to ₹75,000. Which of the above is/are correct?
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Correct answer: A — 1 only
Statement 1 is correct. Statement 2 is wrong: the third tranche remains unchanged at ₹50,000.