PM Modi Launches SVANidhi Card Scheme. What Is This 'Immediate Access To Credit' Scheme?

On January 23, 2026, Prime Minister Narendra Modilaunched four new train services for Kerala from Thiruvananthapuram and advanced a significant urban livelihood project by introducing the PM SVANidhi Credit Card.

The credit card represented the next phase of financial inclusion for street sellers nationwide, while the train announcements concentrated on connectivity.

PM SVANidhi Scheme

According to a PIB announcement, the launch is part of the reorganized Prime Minister Street Vendor's Atma Nirbhar Nidhi (PM SVANidhi) program, which was first introduced in June 2020 to assist vendors in restarting enterprises impacted by the COVID-19 pandemic.

Vendors are said to have received "a sense of identification and formal recognition for their contribution to the economy," as stated in the statement.

What is the PM SVANidhi Scheme?

A RuPay credit card tied to UPI, the SVANidhi Credit Cardwas introduced as part of the reorganized plan.It is intended to assist vendors in managing their daily liquidity requirements while promoting digital payments as an interest-free, revolving credit facility..

What are The Benefits of the PM SVANidhi Scheme 

• "The introduction of UPI-linked RUPAY Credit Card will allow the street vendors rapid access to credit to meet any emergent commercial and personal requirements," according to PIB. Beneficiaries who have made timely repayments on their second tranche loan are eligible for the card.
• Up to Rs 15,000 can be borrowed in the first tranche, Rs 25,000 in the second, and Rs 50,000 in the third, according to the updated loan structure. The program provides cashback incentives, such as "Cashback upto Rs 1,200 on regular sales with a maximum Rs 100 per month," to encourage the adoption of digital technology.
• The program connects vendors to financial literacy, skill development, and welfare programs in addition to credit. Implementation is jointly handled by the Ministry of Housing and Urban Affairs and the Department of Financial Services, with support from states, banks, and urban local bodies, the release said.

Street Vendors Will Get Most Benefits

• Because they provide reasonably priced items and services near residential areas, street vendors are essential to urban living.
• However, it stated that many people continue to operate outside of formal systems because of "lack of recognition, restricted access to formal credit, low levels of education and skills," as well as poor ties to assistance programs. Through digital access and structured lending, the SVANidhi framework aims to close these disparities.
• The scheme's expansion and restructuring were authorized by the Union Cabinet in August 2025. With a total outlay of Rs 7,332 crore, the credit duration was extended till March 31, 2030. 1.15 crore merchants, including 50 lakh new beneficiaries, are expected to gain from the updated version.
• During the Kerala event, the Prime Minister also disbursed SVANidhi loans to one lakh beneficiaries, including street vendors from the State.
• Millions of people's lives have been transformed by the Svanidhi initiative, which connected them to banking. Once reserved for the wealthy, credit cards are increasingly used by retailers. For the underprivileged and disenfranchised, the government serves as a guarantee.

More than 4 crore homes were constructed under the Awas Yojana, according to Modi. 1.25 lakh urban poor families in Kerala were given dwellings.He called a developed Kerala the foundation for a developed India.

New trains will better connect Kerala with neighboring states, boosting travel and development. The PM also laid the foundation for a tech hub to foster innovation and create jobs.