Prime Minister Narendra Modi on Monday said the PM SVANidhi scheme supporting street vendors has transformed the lives of countless hawkers by ensuring access to collateral-free credit, financial inclusion and new opportunities for growth, his celebration coming at a time when hawker-eviction drives have picked up pace across Bengal under the new BJP government.
"Today we mark #6YearsofPMSVANidhi, a scheme which has transformed the lives of countless street vendors by ensuring access to collateral-free credit, financial inclusion and new opportunities for growth. This scheme is all about trust, dignity and empowerment. My best wishes to all beneficiaries whose determination and enterprise continue to strengthen our nation’s economy," Modi wrote in a post on X.
His post comes at a time when the BJP government in Bengal has intensified its efforts against illegal encroachment of public places.
Earthmovers have hit the streets in the state, targeting illegal structures, unauthorised hawkers and street vendors – specially across Kolkata and the surrounding regions. Many of these stalls have been operating there for years, even decades.
Officials and local sources told PTI that one operation removed around 150 stalls and roadside shops and close to 200 hawkers from the Howrah station area. The affected establishments included vendors selling food items, fruits, toys and daily essentials.
The BJP alleged that the Trinamool Congress (TMC), during its 15-year-rule in the state, had patronised them.
The Trinamool, in turn, hit out at the BJP government for bulldozing the dreams of poor hawkers.
"Before demolishing homes and uprooting families, authorities MUST ENSURE proper rehabilitation, alternative housing and dignity for every affected person. People are not disposable. Their lives, livelihoods and futures matter," the party wrote in a social media post on Monday.
The party posted a series of videos on X (formerly Twitter) of purported hawkers saying that they did not receive adequate notice prior to the anti-encroachment drives. Traders said many of the stalls had existed for decades and demanded rehabilitation or alternative vending arrangements from the authorities.
"There should be beautification and proper management, but poor vendors should also be rehabilitated," a vendor told PTI.
"We will have to resort to suicide if no rehabilitation is provided," another stall owner affected by the drive told PTI.
Hawker-eviction drives are not unique to the BJP. Successive governments in Bengal have tried to remove such encroachments over the years, for example the erstwhile Left Front government’s Operation Sunshine targeting hawkers in Calcutta. Mamata Banerjee had also authorised such a drive towards the end of her 15-year tenure.
Usually, such drives have succeeded in clearing hawkers and encroachers only temporarily.
What is PM SVANidhi?
The Prime Minister Street Vendor's AtmaNirbhar Nidhi (PM SVANidhi), a central scheme supporting street vendors through affordable working capital, financial inclusion and social protection measures, was launched during the Covid-19 pandemic to provide affordable working capital loans to street vendors whose businesses had been severely affected.
It is aimed at supporting the growth of their businesses while promoting financial inclusion.
The scheme was launched in June 2020. It is a joint responsibility of the Ministry of Housing and Urban Affairs (MoHUA) and the Department of Financial Services (DFS).
More than 1.12 crore collateral-free loans worth over Rs 17,800 crore have been disbursed under the PM SVANidhi scheme since its launch in June 2020.
The scheme has benefited over 75.5 lakh street vendors across urban India, helping them access formal credit, adopt digital payments and avail social security benefits, per government data.