PM Vishwakarma Scheme: Strengthening The Hands of Traditional Craftsmen And Artisans

The Narendra Modi government launched its flagship Vishwakarma scheme to support those engaged in traditional crafts as part of its inclusive development agenda.

On September 17, 2023, Prime Minister Narendra Modi unveiled PM Vishwakarma under which traditional craftsmen and artisans will be provided loan assistance at a minimal interest rate without the need for collateral. With a financial outlay of Rs 13,000 crore, the scheme aims to provide artisans and craftspeople with recognition through a PM Vishwakarma certificate and ID card.

Additionally, the scheme offers credit support of up to Rs 1 lakh (First Tranche) and Rs 2 lakh (Second Tranche) at a concessional interest rate of 5%. The initiative also includes provisions for Skill Upgradation, Toolkit Incentive, Incentive for Digital Transactions, and Marketing Support.

A concessional rate of interest of 5 per cent will be charged from the beneficiary with interest subvention cap of 8 per cent to be paid by the Ministry of Micro Small and Medium Enterprises. The credit guarantee fees will be borne by the central government.

The scheme also entails benefits such as recognition as a Vishwakarma through a certificate and ID card and skill verification followed by 5-7 days (40 hours) of basic training. Interested candidates can also enrol for 15 days (120 hours) of advanced training and a stipend of Rs 500 per day will be provided.

Besides, a Rs 15,000 grant will be provided as a toolkit incentive and an incentive for digital transaction of Rs 1 per transaction for up to 100 transactions monthly.

A National Committee for Marketing (NCM) will provide services such as Quality Certification, Branding & Promotion, E-commerce linkage, Trade Fairs advertising, publicity and other marketing activities.

An artisan or craftsperson working with hands and tools and engaged in one of the 18 family-based traditional trades mentioned in the scheme, in the unorganised sector on a self-employment basis, shall be eligible for registration under PM Vishwakarma.

The minimum age of the beneficiary should be 18 years on the date of registration.