PM SVANidhi Loans Reach 6,394 Street Vendors in Nagaland, but Eight Towns Yet to Register a Single Case

Nagaland has disbursed PM SVANidhi loans worth Rs 10.52 crore to 6,394 street vendors as of June 27, 2026, reaching roughly half the state’s target under the central government’s flagship micro-credit scheme. The figures were shared at a Varta organised by PIB Kohima on June 29 at Hotel Japfu, Kohima, themed ’12 Years of Government – From Empowerment to Prosperity: Urban Livelihoods and Entrepreneurship.’

Progress and Gaps in Nagaland’s PM SVANidhi Rollout

Petevilie Khatsu, Additional Director and State Mission Director of DAY-NULM, told participants that banks across Nagaland have approved 6,511 loans worth Rs 10.75 crore, representing approximately 50 percent of the Ministry’s target of 13,000 loans to be sanctioned by March 31, 2030. Around 200 bank branches are currently participating in the scheme across the state.

“Achieving 50% of our target is a good start, but we have more work to do,” Khatsu said. He highlighted that 60 percent of borrowers, totalling 3,861 individuals, have repaid their loans on time, which he described as an encouraging sign.

However, eight towns and urban local bodies have not registered a single loan under the scheme: Naginimora, Tizit, Tobu, Atoizu, Satakha, Shamator, Seyochung, and Chiephobozou. “We need to focus heavily on these areas,” Khatsu said, adding that some remote areas simply do not have enough bank branches to facilitate access.

Barriers Holding Back Street Vendors

Khatsu cited several structural challenges slowing adoption. These include Aadhaar cards not linked to current phone numbers, limited digital payment literacy among vendors, weak internet connectivity in interior areas, and an insufficient number of bank branches in remote parts of the state.

Despite these hurdles, Khatsu emphasised the broader purpose of the programme. “PM SVANidhi is not just about giving loans; it is about giving respect and independence to local vendors,” he said. He noted that anyone selling goods or offering services on streets, footpaths, pavements, or on a mobile basis is eligible to apply through the SIDBI-developed PM SVANidhi portal.

How the Scheme Works

PM SVANidhi, formally the PM Street Vendor’s AtmaNirbhar Nidhi scheme, was launched on June 1, 2020 to extend micro-credit to street vendors affected by the COVID-19 pandemic. It has since been extended to March 2030 and restructured in January 2026 through a new phase involving partnerships among the Ministry of Housing and Urban Affairs, the Department of Financial Services, and the Ministry of Rural Development for census towns.

Loans under the scheme are collateral-free and structured in three stages: Rs 15,000 for a first loan, Rs 25,000 for a second, and Rs 50,000 for a third. The government provides an interest subsidy of up to 7 percent, and all loans are guaranteed under the Credit Guarantee Fund Trust for Micro and Small Enterprises, meaning vendors are not required to pledge any security. Vendors who repay their second loan become eligible for a UPI-linked RuPay Credit Card worth between Rs 10,000 and Rs 30,000 for emergency expenses.

Enrolment in the scheme also opens access to eight additional government welfare programmes, including PM Suraksha Bima Yojana, PM Jeevan Jyoti Bima Yojana, PM Shram Yogi Maandhan Yojana, PM Jan Dhan Yojana, One Nation One Ration Card, Janani Suraksha Yojana, BoCW registration, and PM Matru Vandana Yojana, provided vendors complete the Svanidhi Se Samridhi socio-economic profiling drive.

Urban Livelihoods Programme Gets a New Shape

The Varta also covered the transition from DAY-NULM, which has operated in Nagaland since 2014-15, to its successor scheme. Abaii Suokhrie, State Mission Manager of DAY-NULM, said the programme concluded on September 30, 2024 and has been replaced by the Deendayal Jan Aajeevika Yojana–Shehari, or DJAY-S, under the Ministry of Housing and Urban Affairs.

DAY-NULM in Nagaland supported 984 self-help groups across 11 districts, focusing on organising the urban poor, skill training, self-employment support, and shelter for homeless individuals in urban areas. DJAY-S is currently in a pilot phase built around a Test-Learn-Scale approach, targeting gig workers, transport workers, construction workers, waste workers, care workers, and domestic workers.

Kohima has been selected as one of 25 pilot cities across India for DJAY-S, giving the state capital a direct role in shaping how the programme scales nationally.

The Varta was moderated by Andrew Lalchhandama, Media and Communication Officer at PIB Kohima, with the vote of thanks delivered by P Sophie, Head of Office at PIB Kohima.