PM Vishwakarma Scheme

✦Key Features

• 18 traditional trade categories covered: blacksmith, goldsmith, potter, carpenter, weaver, tailor, cobbler, boat maker, etc.
• Collateral-free credit: ₹1 lakh (Phase 1) + ₹2 lakh (Phase 2) at 5% interest rate
• Free skill training: 5-7 days basic + 15+ days advanced; ₹500/day stipend during training
• Digital incentives: ₹1/transaction up to 100 transactions/month on digital payments
• PM Vishwakarma Certificate and ID card for recognition
• Market linkage: e-commerce platforms, GeM portal integration
• Budget: ₹13,000 crore over 5 years (2023-2028)

✓Eligibility Criteria

• Traditional artisans and craftspeople aged 18 years and above, working in one of the 18 identified trades.
• Beneficiaries should not have availed loans under similar credit-based schemes of Central/State Governments in the last 5 years.
• The scheme is applicable to one member per family (spouse and unmarried children are considered part of the family).
• Individuals engaged in the respective traditional trade on a self-employment basis.

★Benefits

• Formal recognition and identity as a 'Vishwakarma' through certification.
• Enhanced income potential through skill upgradation and access to modern tools.
• Financial stability and growth opportunities through easy access to credit.
• Improved market access, reducing reliance on intermediaries.
• Preservation and promotion of traditional crafts and cultural heritage.

▶Application Process

• Registration on the PM Vishwakarma portal (pmvishwakarma.gov.in) through Common Service Centres (CSCs).
• Aadhaar-based biometric authentication and mobile OTP verification.
• Submission of the online application form with personal and trade details.
• Verification of the application by Gram Panchayat/ULB and District Implementation Committee.
• Provision of skill training and toolkit incentive upon successful completion of training.
• Disbursement of collateral-free credit and marketing support as per eligibility.

₹ Budget Allocation

13000

Funding Ratio (Centre:State): 100% Central Sector Scheme (₹13,000 crore outlay).

Historical Context

Launched on September 17, 2023 (Vishwakarma Jayanti) to support artisans who form the backbone of the rural economy but remained largely unorganized.

Challenges

• Authenticating genuine artisans through a three-tier verification process.
• Artisans' hesitation toward formal banking and credit systems.
• Ensuring the quality of training matches modern market standards.

Reforms & Recommendations

• Establishing 'Vishwakarma Hubs' in districts for collective marketing and raw material procurement.
• Simplifying the multi-stage verification to reduce the turnaround time for loans.
• Adding more trades like traditional eco-friendly packaging makers.

Performance Statistics

SDG Linkages

Constitutional Backing

Technology Used

Success Stories

Key Takeaways

• 18 traditional trades covered (Carpenters, Blacksmiths, etc.).
• Toolkit incentive of ₹15,000.
• Collateral-free loans up to ₹3 lakh (in two tranches) at 5% interest rate.
• PM Vishwakarma Certificate and ID card.

Convergence Schemes

• Skill India Mission
• PM SVANidhi (for urban artisans)
• Stand-Up India

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