Govt offers Rs 3 lakh loan at low interest for skilled workers under Vishwakarma Yojana

The central government is offering collateral-free loans of up to Rs 3 lakh at a 5% interest rate to specific individuals under this scheme. Let's explore the details.

Small business owners

To address the financial struggles of small business owners and traditional artisans across India, the central government has introduced the Pradhan Mantri Vishwakarma Yojana. This visionary scheme aims to empower individuals engaged in ancient trades by providing collateral-free loans of up to Rs 3 lakh at a low 5% interest rate.

Recognizing the challenges faced by those in the informal sector, this initiative seeks to provide financial assistance and skill development opportunities to foster self-reliance and business growth.

PM Vishwakarma Yojana

PM Vishwakarma Yojana is designed for artisans working in any of the 18 traditional trades, such as blacksmithing, tailoring, carpentry, and pottery. Eligible applicants must be at least 18 years old and already engaged in their trade. Only one member per family can apply, and those who have benefited from other schemes like PMEGP, Mudra, or PM Swanidhi in the last five years are ineligible. Government employees and their families are also excluded from this scheme.

PM Vishwakarma Certificate

Under this scheme, artisans receive a PM Vishwakarma Certificate and ID card, along with tool kit e-vouchers worth up to Rs 15,000. The loan is disbursed in two stages: Rs 1 lakh after basic training, followed by Rs 2 lakh after completing advanced training and adopting digital transactions.

Participants also receive skill training with a daily stipend of Rs 500. Furthermore, artisans are rewarded Re 1 for digital transactions, up to 100 transactions monthly, to encourage digital integration in their businesses.

Registration

Registration for this scheme can be done through the official portal pmvishwakarma.gov.in, promoting digital integration in their businesses. The process involves mobile and Aadhaar-based e-KYC, filling out the application form, and downloading the digital certificate.

Applications undergo a three-tier verification process, starting with the Local Level Committee, followed by the District Implementation Committee, and finally, approval from the Screening Committee.