New Delhi – The Union government is on the brink of unveiling the PM Vishwakarma scheme, designed to provide support to artisans and workers, with the official launch slated for September 17. Prime Minister Narendra Modi will inaugurate this pivotal initiative at the India International Convention & Expo Centre in Dwarka, the national capital.
Under the ambit of this visionary scheme, beneficiaries are poised to receive ₹15,000 each as toolkit incentives, disbursed through e-vouchers or eRUPI. Additionally, they will have access to collateral-free enterprise development loans, featuring concessional interest rates. Furthermore, artisans will be incentivized with ₹1 per transaction, up to a maximum of 100 transactions per month, as delineated in a presentation prepared by the MSME ministry.
To qualify for these incentives, artisans will need to undergo a skill verification phase, followed by a comprehensive five-day training regimen. Subsequently, they will embark on an advanced training program lasting 15 days or more, receiving a stipend of ₹500 per day during this intensive period.
The scheme also encompasses a corpus of ₹250 crore earmarked for quality certification, branding, advertising, publicity, and other marketing activities.
This ambitious endeavor secured the approval of the Cabinet Committee on Economic Affairs (CCEA) on August 16, with a substantial allocation of ₹13,000 crore over a five-year period (FY24-28).
Post-Cabinet approval, the ministry underscored the toolkit incentives and the facilitation of digital transactions. It is noteworthy that artisans and craftspeople will attain recognition through the issuance of a PM Vishwakarma certificate and ID card. Simultaneously, they will be eligible for credit support, starting at ₹1 lakh (first tranche) and extending to ₹2 lakh (second tranche), featuring a concessional interest rate of 5%. The interest subvention cap will be up to 8%, subject to revision by a credit oversight committee in line with prevailing interest rates.
Crucially, the credit guarantee fees will be borne by the central government.
The scheme will extend its support to artisans and craftsmen across both rural and urban regions throughout India. Eighteen traditional trades have been identified as initial beneficiary sectors, encompassing a diverse range from carpenters and blacksmiths to goldsmiths and cobblers. Eligibility criteria include a minimum age of 18 years and a constraint on availing loans under similar credit-based self-employment schemes over the past five years.
Applicants will be required to furnish a self-declaration, with banks overseeing due diligence. Registration and benefits will be limited to one member per family.
The scheme’s implementation will entail the creation of a national steering committee, state monitoring committees, district implementation committees, and field-level agencies, including banks and skilling centers, among other organizational structures.
Queries directed to the MSME ministry and the Prime Minister’s Office remained unanswered as of the time of printing.
The Union Budget for FY24 first alluded to the government’s commitment to supporting traditional artisans and craftsmen. In a resounding declaration, Prime Minister Modi, in his Independence Day address last month, announced the imminent rollout of the scheme within a month.
