Cabinet nod to Rs 1 lakh loan at 5% rate to Craftsmen under PM Vishwakarma

The Union Cabinet on Wednesday approved the PM Vishwakarma scheme with an outlay of Rs. 13,000 crore for five years. It will benefit about three million families of traditional artisans and craftspeople, including weavers, goldsmiths, blacksmiths, laundry workers, and barbers, the government said.

The beneficiaries will be recognised through a PM Vishwakarma certificate and ID card. The government will provide credit support of up to Rs. 1 lakh (first tranche) and Rs. 2 lakh (second tranche) at an interest rate of 5 per cent. Artisans and craftsmen will also be paid a stipend of Rs. 500 per day for skill upgradation, and Rs. 15,000 for procuring modern tools, a statement said.

“The scheme aims to strengthen and nurture the ‘Guru-Shishya parampara’ or family-based practice of traditional skills by artisans and craftsmen working with their hands and tools,” according to a statement released by the Ministry of Micro, Small and Medium Enterprises on Wednesday. 

The scheme aims to improve the quality and reach of products and services of artisans and craftsmen and to ensure that Vishwakarmas (artisans) get integrated with the domestic and global value chains, the statement added.

“Under market support, there will be quality certification, branding, and online market access, and the efforts are underway to integrate it with initiatives like One District One Product, or one station one product. There will be incentives for up to 1,200 digital transactions like under the PM SVANidhi (PM Street Vendor’s AtmaNirbhar Nidhi) programme,” telecom minister Ashwini Vaishnaw said at a media briefing. 

Under the scheme, common service centres will be set up in rural areas for registrations, and beneficiaries will be finalised at the district level by state governments.  

During his Independence Day address, Prime Minister Narendra Modi had said that this scheme would be launched on Vishwakarma Jayanti on September 17. The scheme covers trades such as sculptor, stone breaker, cobbler, mason basket/mat/broom maker, doll & toy maker (traditional), barber, garland maker, washerman, tailor, and fishing net maker.