PM Vishwakarma Yojana : Get 3 Lakh Collateral Free Loan With 5% Interest – Govt Scheme 2023

PM Vishwakarma Yojana : Get 3 Lakh Collateral Free Loan With 5% Interest

Indian government has introduced the PM Vishwakarma Yojana. This groundbreaking initiative offers collateral-free loans of up to Rs 3 lakh with a nominal 5% interest rate to individuals engaged in traditional self-employment. Furthermore, recipients of this loan are entitled to an additional benefit of a Rs 15,000 voucher, specifically designated for the procurement of essential tools and equipment related to their trade. With an allocated budget of 13000 crore rupees, the government has taken a substantial step towards supporting the backbone of the nation’s economy – its skilled artisans and craftsmen. This essay delves into the intricacies of the PM Vishwakarma Yojana, exploring its eligibility criteria, application process, and the transformative impact it is poised to make on the lives of countless individuals engaged in traditional self-employment.

Also Read…. JBY (Janashree Bima Yojana Scheme)

Eligibility Criteria: Empowering the Artisans

The PM Vishwakarma Yojana is designed to empower self-employed individuals engaged in various traditional trades such as carpentry, tailoring, sculpture, cobbling, boat making, blacksmithing, laundry services, barbering, clay paper crafting, masonry, toy making, and many more. To be eligible for this scheme, applicants must be at least 18 years old and must not have availed of central government loans, including schemes like PMEGP, in the last five years. However, individuals who have successfully repaid loans from initiatives such as PM Svanidhi and Mudra Loan are eligible for consideration under this scheme. Additionally, only one member from a family, comprising spouses and children, can apply for this scheme, thereby ensuring wider distribution of benefits within communities.

Application Process: Simplified and Accessible

The application process for the PM Vishwakarma Yojana is straightforward, ensuring accessibility for all eligible candidates. The required documents include Aadhaar card, mobile number, bank account details, and ration card. Once the necessary documents are in place, applicants undergo a meticulous three-tier verification process. The first level involves scrutiny by the Head of the Local Authority, followed by assessment by the District Implementation Committee, and finally, scrutiny by the District Level Screening Committee. This meticulous verification process ensures the deserving candidates receive the support they require, fostering a sense of confidence in the system.

Financial Assistance: Collateral-Free Loans and Subsidized Interest Rates

One of the key features of the PM Vishwakarma Yojana is the provision of collateral-free loans of up to Rs 3 lakh. This significant financial support allows artisans and craftsmen to invest in their businesses without the burden of providing security. Furthermore, the government has subsidized the interest rate to a nominal 5%, making repayment more manageable for the beneficiaries. While the actual interest rate stands at 13%, the government shoulders the responsibility of covering the remaining 8% interest, thereby lightening the financial load on the recipients.

Additional Benefits: Empowering Through Skill Training and Marketing Support

Apart from the monetary assistance, the PM Vishwakarma Yojana offers skill training opportunities to enhance the expertise of the recipients. Upon completion of the training program, beneficiaries become eligible for a loan of Rs 1 lakh. If this initial loan is repaid within 18 months, recipients qualify for an additional loan of Rs 2 lakh. This phased approach to lending encourages responsible financial behavior and ensures sustained growth for the beneficiaries’ enterprises.

Moreover, the National Committee of Marketing (NCM) steps in to provide essential marketing support. NCM assists recipients in promoting their products, expanding their customer base, and reaching wider markets. This invaluable guidance opens doors to new opportunities and ensures the sustainability of the businesses established under the PM Vishwakarma Yojana.

Geographical Expansion: From Palakkad to Pan-India

Initially launched in Palakkad district, the PM Vishwakarma Yojana is a testament to the government’s commitment to uplifting communities at the grassroots level. As a pilot project, it aims to fine-tune the implementation process and address any challenges that may arise. With the successful implementation and lessons learned from this pilot, the government plans to gradually expand the scheme to cover all districts across the nation. This expansion ensures that artisans and craftsmen from diverse regions have equal access to the benefits of this transformative initiative.

Lets Checkout Shortly: PM Vishwakarma Yojana⤵️

-> Get 3 lakh loan at 5% interest

-> Also Get Rs.15000 free Cash

-> Those engaged in traditional self-employment can get a collateral-free loan of Rs 3 lakh at 5% interest.

-> In addition to the loan, you will get a voucher of Rs. 15000 to buy employment. It cannot be used for anything else

-> 13000 crore rupees has been set aside by the Center for this purpose.

-> Although the actual interest is 13%, the individual has to pay only 5% interest and the remaining 8% interest is paid by the government.

-> After completing the skill training for this, you will get a loan of 1 lakh rupees. If this is repaid in 18 months, the remaining Rs 2 lakh will be allowed.

-> If this is repaid in 18 months, the remaining Rs.2 lakh will be allowed. It is to be repaid within 30 months.

-> National Committee Of Marketing (NCM) will help you to market your product

-> No Registration Fee

-> Documents :

Bank Ac
Ration card

-> After registration there will be 3 levels of verification :

Through the Head of Local Authority
Through the District Implementation Committee
Through district level screening committee

-> Eligibility :

Eligibility for self-employed persons
Min age : 18
Those who have taken central government loans including PMEGP in the last 5 years will not get it
But pm svanidhi, Mudra Loan will be given to those who take it and pay it, if they don’t pay it they won’t get it
Only one person in a family consisting of wife, husband and children can apply
Government employees and their families are not eligible

-> This project will be started in Palakkad district for the first time and will gradually come to all districts

-> 18 Eligible Categories :
Carpenters, tailors, sculptors, cobblers, boat makers, blacksmiths, laundry workers, barbers, clay paper makers, masons, toy makers etc…………



In conclusion, the PM Vishwakarma Yojana stands as a beacon of hope for traditional self-employed individuals, offering them not just financial assistance but also a chance at a better life. By providing collateral-free loans, subsidizing interest rates, offering skill training, and extending marketing support, the government empowers artisans and craftsmen to build sustainable businesses.

This initiative is not merely about financial aid but about fostering self-reliance, encouraging entrepreneurship, and preserving the rich cultural heritage of traditional crafts. As the scheme expands from Palakkad to pan-India, it has the potential to transform lives, uplift communities, and contribute significantly to the economic growth and development of the nation.

Through the PM Vishwakarma Yojana, the government paves the way for a brighter, more prosperous future for the unsung heroes of the Indian economy – its skilled artisans and craftsmen.

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