PM Launched Pradhan Mantri Vishwakarma Yojana (PMVY) – PMVY Guidelines, Eligibility Criteria, Benefits & Objectives in Detail

Introduction to Pradhan Mantri Vishwakarma Yojana (PMVY)

Pradhan Mantri Vishwakarma Yojana (PMVY): PM Modi's launch of the Pradhan Mantri Vishwakarma Yojana (PMVY) has been making big news lately. And there's a good reason for that! This scheme is super important for many of Indians, especially when it comes to Important UPSC Prelims Questions.

So, it's essential for us to understand it thoroughly. In this blog, we're going to tell you almost everything about this scheme known as PMVY, PMVY Guidelines, PMVY Eligibility Criteria, the PMVY Benefits you get, and Objectives of PMVY.

So, let's get started and learn about PMVY, a scheme that's not just in the headlines but also has a big impact on people's lives.

 

 

Facts about Pradhan Mantri Vishwakarma Yojana

We have listed Some of the Important facts that you should be aware of related to this scheme of PMVY:

Facts About PMVY
Launched by	PM Narendra Modi
Aim	Upliftment of craftsmen and artisans
Budget Allocation	₹13,000 Crore
Enhancing Accessibility	Improving access to quality products and services
Loan Support	Collateral-free enterprise loans
Loan Amounts	₹1 Lakh and ₹2 Lakh
Interest Rate	Concessional 5%
Interest Subvention	Capped at 8% by MSME Ministry
Credit Guarantee Fees	Covered by the government
Skill Upgradation	Training and skill development opportunities
Training Stipend	₹500 per day
Toolkit Incentive	₹15,000 grant
Digital Transactions	Encouraging digital payments
Marketing Support	Branding, promotion, and market linkages
'Vocal for Local'	Promoting locally-made products
Recognition	Artisans recognized as Vishwakarma
Traditional Trades Covered	18
Minimum Age Requirement	18 years
Family Benefit	One member per family eligible
Ineligibility	Government employees and their families not eligible

 

What is Pradhan Mantri Vishwakarma Yojana?

The Pradhan Mantri Vishwakarma Yojana (PMVY) is a transformative scheme launched by Prime Minister Narendra Modi with the aim of uplifting and empowering artisans and craftspeople across India. This visionary initiative is driven by a budget allocation of ₹13,000 crore and seeks to provide a comprehensive support system for traditional artisans working in various family-based trades.

The primary objective of PMVY is to enhance the accessibility and quality of products and services offered by these skilled craftsmen, enabling them to compete effectively in the modern market. It does so through several key components:

1. Financial Support
2. Skill Enhancement
3. Toolkit Incentive
4. Digital Empowerment
5. Marketing Support

PMVY is not only an economic lifeline for countless skilled workers but also a testament to the government's commitment to supporting the underprivileged and marginalized sections of society. 

Through PMVY, artisans are recognized as Vishwakarma, making them eligible for various benefits that improve their livelihoods and promote the "Vocal for Local" initiative. This scheme plays a pivotal role in boosting traditional craftsmanship and fostering economic growth at the grassroots level.

Objectives of PMVY Scheme

They Key Objective of this Scheme is to uplift the artisans and craftspeople of India and allow them to have loans at very concessional rate of Interests. However, we have elaborated the objectives of this scheme below:

1.       Recognition of Artisans: This Scheme is aims to enable the recognition of artisans and craftspeople as Vishwakarma, making them eligible to avail all the benefits under the scheme.

2.       Skill Upgradation: This Scheme is aims to provide skill upgradation opportunities, ensuring that artisans have access to relevant and suitable training opportunities to enhance their skills.

3.       Modern Tools: This Scheme is aims to support artisans by providing them with better and modern tools, enhancing their capability, productivity, and the quality of their products and services.

4.       Collateral-Free Credit: This Scheme is aims to offer beneficiaries easy access to collateral-free credit, reducing the cost of credit through concessional interest rates.

5.       Digital Empowerment: This Scheme is aims to incentivize digital transactions among artisans, encouraging them to adopt digital payment methods.

6.       Brand Promotion: This Scheme is aims to provide a platform for brand promotion and market linkages, helping artisans access new opportunities for growth.

7.       Recognition and Certification: This Scheme is aims to recognize artisans through certification and ID cards, establishing their status as Vishwakarma.

8.       Training Support: This Scheme is aims to offer skill verification and training opportunities, including both basic and advanced training programs.

9.       Toolkit Incentive: This Scheme is aims to grant financial support for the acquisition of modern toolkits, further enhancing artisans' capabilities.

10.   Economic Empowerment: This Scheme is aims to empower artisans by offering collateral-free loans and marketing support, enabling them to expand their businesses and improve their economic well-being.

 

Eligibility Criteria of PMVY Scheme

There are a few of eligibility criteria to this scheme. We have mentioned all of them below:

1.       Artisan or Craftsperson: The individual must be an artisan or craftsperson who works with hands and tools and is engaged in one of the 18 family-based traditional trades mentioned in the scheme.

2.       Unorganized Sector: The artisan should be working in the unorganized sector on a self-employment basis.

3.       Minimum Age: The minimum age of the beneficiary should be 18 years at the time of registration.

4.       No Previous Loans: The beneficiary should not have availed loans under similar credit-based schemes of the Central Government or State Government for self-employment or business development in the past 5 years. This includes schemes such as PMEGP, PM SVANidhi, and Mudra.

5.       Family Restriction: The registration and benefits under the scheme are restricted to one member of the family. A 'family' is defined as consisting of the husband, wife, and unmarried children.

6.       Government Employees: Persons in government service and their family members are not eligible under the PMVY scheme.

These eligibility criteria are in place to ensure that the benefits of PMVY reach the intended beneficiaries who are engaged in traditional trades and are in need of support for skill enhancement, financial assistance, and economic empowerment.

Benefits of PMVY Scheme

There are too many targeted benefits of this scheme that any eligible country-mate can avail. However we have mentioned almost all of its benefits that you’ve must know:

 

1.       Recognition as Vishwakarma

Artisans and craftspeople are recognized as Vishwakarma through certification and ID cards, affirming their status and granting them access to scheme benefits. This recognition brings dignity and validation to their skills, promoting their social and economic standing.

 

2.       Skill Upgradation

PMVY offers skill enhancement opportunities, including basic and advanced training programs. This equips artisans with modern techniques, improving the quality and marketability of their products. Skill development enhances their employability and income potential.

 

3.       Financial Support

Collateral-free enterprise development loans of up to ₹2 lakh are provided. This financial aid empowers artisans to invest in their businesses, purchase equipment, and expand their operations, fostering entrepreneurship and economic growth.

 

4.       Concessional Interest Rates

Beneficiaries enjoy a concessional interest rate of 5% on loans, with an interest subvention cap of 8% borne by the Ministry of Micro Small and Medium Enterprises (MSME). This significantly reduces the cost of credit, making loans more affordable.

 

5.       Digital Transaction Incentives

PMVY incentivizes artisans to embrace digital transactions by offering rewards of Re 1 per transaction, up to 100 transactions per month. This encourages the adoption of digital payment methods, enhancing financial inclusivity and efficiency.

 

6.       Toolkit Incentive

A grant of ₹15,000 is provided for the acquisition of modern toolkits. This assists artisans in upgrading their equipment, increasing productivity, and enhancing the quality of their products.

 

7.       Marketing Support

Artisans receive marketing assistance, including branding, promotion, and market linkages. This facilitates access to larger markets, both locally and globally, boosting sales and business growth.

 

8.       Easy Access to Credit

PMVY ensures that beneficiaries have access to collateral-free credit, reducing the barriers to obtaining loans. This access to credit enables artisans to invest in their businesses and expand their operations.

 

9.       Empowerment for Marginalized Groups

PMVY provides a platform for the economic empowerment of marginalized artisans and craftspeople. It includes financial and skill development support, creating opportunities for those who may have limited access to resources.

 

10.   Promotion of 'Vocal for Local'

The scheme aligns with the 'Vocal for Local' initiative by promoting locally-made products. This not only preserves traditional craftsmanship but also encourages consumers to support indigenous products, strengthening local economies.

Importance of PMVY Scheme

The Pradhan Mantri Vishwakarma Yojana (PMVY) holds immense significance as it uplifts traditional artisans and craftspeople while preserving India's cultural heritage. 

By providing financial support, skill development, and modern tools, PMVY empowers artisans economically and socially. This empowerment fuels economic growth at the grassroots level, generating employment opportunities and contributing to local economies. 

Additionally, PMVY aligns with the 'Vocal for Local' initiative, promoting self-reliance and supporting locally-made products. It also plays a pivotal role in financial inclusion, recognizing artisans' skills, and fostering entrepreneurship. Its relevance to UPSC exams underscores its importance in the context of government initiatives and social welfare programs.

Key Importance Points to PMVY Scheme-

• Empowers traditional artisans economically and socially.
• Preserves India's rich cultural heritage.
• Fosters economic growth at the grassroots level.
• Generates employment opportunities in local communities.
• Aligns with the 'Vocal for Local' initiative.
• Promotes financial inclusion among artisans.
• Grants recognition and dignity to artisans' skills.
• Enhances competitiveness through skill development.
• Aligns with national development goals.

This topic is also relevant for UPSC exams, particularly in government initiatives and social welfare programs. 

FAQ’s related to Pradhan Mantri Vishwakarma Yojana

Q. What is PMVY, and why is it considered one of PM Modi's initiatives?

Answer. PMVY, short for Pradhan Mantri Vishwakarma Yojana, is an initiative by PM Modi to uplift artisans through government schemes.

Q. How does PMVY provide financial support for artisans?

Answer. PMVY offers collateral-free government loans to artisans for business development.

Q. What are the eligibility criteria for PMVY?

Answer. Eligibility criteria for PMVY include being an artisan, working in traditional trades, and more.

Q. What are the key objectives of the PMVY scheme?

Answer. The PMVY scheme aims to empower artisans, provide skill development, and promote their financial well-being. 

Q. How does PMVY enhance artisan empowerment and recognition?

Answer. PMVY recognizes artisans as Vishwakarma and provides certification and ID cards.

Q. What is the importance of PMVY in the context of UPSC Prelims topics?

Answer. PMVY is an important UPSC Prelims topic as it addresses government schemes and artisan empowerment.

Q. Can government skill development programs help artisans under PMVY?

Answer. Yes, PMVY includes skill development programs for artisans to improve their skills.

Q. What are the benefits of PMVY for artisans' financial support?

Answer. PMVY offers collateral-free loans and a concessional interest rate of 5% for financial support.

Q. How does PMVY encourage the use of modern tools for artisans?

Answer. PMVY provides toolkit incentives, enabling artisans to acquire modern equipment.

Q. What impact does PMVY have on the 'Vocal for Local' initiative?

Answer. PMVY aligns with 'Vocal for Local' by promoting locally-made artisan products.

Q. How does PMVY support digital transactions for artisans?

Answer. PMVY incentivizes digital transactions with rewards for artisans.

Q. What are the guidelines artisans should follow under PMVY?

Answer. PMVY guidelines outline the rules and procedures for artisans to access benefits.

Q. How does PMVY contribute to the economic growth of artisans?

Answer. PMVY provides financial support, skill development, and marketing assistance, fostering economic growth.

Q. Can one member from a family benefit from PMVY?

Answer. Yes, PMVY benefits are restricted to one member per family.

Q. How does PMVY impact traditional trades and crafts in India?

Answer. PMVY preserves and enhances traditional crafts by offering support and recognition.

Q. What role does PMVY play in Government Schemes in India?

Answer. PMVY is a significant government scheme aimed at artisan empowerment.

Q. What are the important UPSC questions related to PMVY?

Answer. UPSC may ask questions on PMVY's objectives, benefits, and impact.

Q. How does PMVY align with UPSC Prelims important topics?

Answer. PMVY is relevant to UPSC Prelims as it relates to government initiatives and artisan empowerment.

Q. What is the Artisan Recognition Program under PMVY?

Answer. The Artisan Recognition Program is part of PMVY, acknowledging artisans as Vishwakarma.

Q. Why should UPSC aspirants study PMVY as part of UPSC Prelims important topics?

Answer. PMVY is a government scheme with socio-economic significance and is likely to feature in UPSC Prelims questions.