Chief Minister Rural Path Vendor Loan Scheme
By Panchayat and Rural Development Department, Government of Madhya Pradesh
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Quick Answer
Rural street vendors and small traders in Madhya Pradesh can get an interest-free working capital loan of up to ₹10,000 through banks, plus entrepreneurship training.
- Funding amount
- Up to ₹10,000
- Funding type
- Debt
- Application deadline
- Rolling
- Location
- Madhya Pradesh
About this loan
This Government of Madhya Pradesh scheme, run by the Panchayat and Rural Development Department, is for rural street vendors such as rehri wala, cycle wala and thela wala. These vendors sell goods like ice cream, fruits, snacks, clothes, utensils and shoes, or offer services like barbering and tool repair.
Through local banks, you can get an interest-free loan of up to ₹10,000 for working capital or low-cost equipment. First you complete Entrepreneurship Development Programme (EDP) training, delivered through Self Employment Training Institutes (RSETs). Once you finish it, you become eligible for the loan.
You must be a resident of a rural area of Madhya Pradesh and a small trader or vendor from the rural poor class. You must not have defaulted on any earlier government loan.
Eligibility
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Grant providers
Provider
Panchayat and Rural Development Department, Government of Madhya PradeshMadhya Pradesh · India
Benefits & Funding
- Amount
- Up to ₹10,000
- Fund type
- Debt
- Equity
- Equity-free
- Repayment
- Repayable
What You Get
This scheme provides crucial financial support in the form of an interest-free loan of up to ₹10,000/- for working capital or low-cost equipment. This financial assistance is disbursed through banks, making it accessible to poor migrant workers and small traders in rural areas. Beyond direct funding, beneficiaries also receive valuable Entrepreneurship Development (EDP) Training through Self Employment Training Institutes (RSETs). This training is designed to equip them with essential business skills and practices for effectively setting up and managing their ventures, thereby promoting sustainable self-employment and economic upliftment.
- Disbursement
- Lump Sum
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications are processed through the online Street Vendor Portal. Following the submission of the application and successful verification of identity and residency, applicants are assessed based on their eligibility criteria, including their status as rural small traders/vendors and their credit history (absence of prior government loan defaults). Eligible applicants will then be directed for Entrepreneurship Development Programme (EDP) training, which is a prerequisite for loan disbursement. The final selection for the loan is made by banks after the completion of this training, based on the applicant's eligibility and the scheme's guidelines.
Application Process
- 1
Register & Verify
Visit the Street Vendor Portal, register, and verify your mobile and Aadhaar numbers via OTP.
You - 2
- 3
- 4
- 5
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How to apply
Four steps from draft to disbursement — one action each.
- 1
Draft your application
Answer the form inside the grant tracker — AI drafts each response using your past answers, so you're not starting from a blank page.
- 2
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
Who is eligible for the Chief Minister Rural Path Vendor Loan Scheme?
The scheme is open to residents of Madhya Pradesh who reside in rural areas, are classified as small traders or vendors from the rural poor class, and have no history of defaulting on previous government loans.
What kind of financial assistance is provided?
Beneficiaries can receive an interest-free loan of up to ₹10,000. This loan is intended for working capital or to acquire low-cost equipment necessary for their business operations.
Is there any training provided under this scheme?
Yes, the scheme includes Entrepreneurship Development (EDP) training. This training is delivered through Self Employment Training Institutes (RSETs) and aims to equip rural migrant workers and small traders with essential business skills.
How do I apply for this scheme?
Applications are submitted online. You need to visit the Street Vendor Portal, register, verify your mobile and Aadhaar numbers, and then complete the online application form with all mandatory details and documents.
What types of businesses are supported?
The scheme supports a wide array of informal businesses operated by street vendors, such as selling ice cream, fruits, snacks, clothes, small utensils, shoes, or providing services like barbering and tool repair in rural areas.
Is the loan repayable?
Yes, it is a loan and must be repaid. The scheme aims to promote regular loan repayment habits, although the loan itself is interest-free.
