“SVANidhi scheme mandates repayment of the loan amount through digital payment. We have to provide our revenue details, which we do not want to do,” a street vendor, on the condition of anonymity, said.
When asked, a Chennai Corporation official said the civic body should include all street vendors in the city under the scheme.
Under the scheme, the banks would provide a loan of Rs 10,000, which vendors must repay in a year in monthly instalments. If the vendors pay the instalments on time using digital payment modes, they will receive the reimbursement of the interest amount.
“The vendors will also be eligible for a Rs 20,000 loan during the next year for timely repayment,” the official said.
Of more than 23,000 registered street vendors in the city, only less than 19,000 have sent applications to the banks as on Sunday. Of the total applications, the banks have sanctioned loans to 4,693 vendors and funds were disbursed to around 2,500 only.
Meanwhile, the civic body had conducted a meeting with the representatives of banks a few days ago and directed them to expedite the processing of SVANidhi applications. Another meeting is scheduled with the bank representatives on Monday to review the processing of applications.