The PM Vishwakarma Scheme Explained

PM Vishwakarma is a Government of India central sector scheme, launched on 17 September 2023, that supports traditional artisans and craftspeople working with their hands and tools in 18 listed trades through recognition, skill training, modern toolkits, collateral-free credit and market support. The scheme is run by the Ministry of Micro, Small and Medium Enterprises (MSME) with the Ministry of Skill Development and Entrepreneurship and the Department of Financial Services.

PM Vishwakarma was announced in the Union Budget for 2023-24 and is named after Lord Vishwakarma, the traditional deity of craftsmen and builders in Indian tradition. It is meant to help the family-based craft sector, which has long worked largely outside formal credit, training and market systems, to become more productive and connected to wider value chains.

Key Takeaways

• PM Vishwakarma is a central sector scheme launched on 17 September 2023 for traditional artisans and craftspeople in 18 trades.
• Registered beneficiaries of PM Vishwakarma receive a PM Vishwakarma certificate and identity card, which formally recognise them as Vishwakarma artisans.
• The scheme offers skill training with a daily stipend, covering both basic and advanced courses, and a toolkit incentive in the form of an e-voucher.
• PM Vishwakarma provides collateral-free enterprise development loans at a concessional interest rate in two tranches, with the government bearing the interest subvention and the guarantee fee.
• The scheme also gives incentives for digital transactions and helps artisans with quality certification, branding and access to markets.
• Registration takes place through Common Service Centres, with verification by local bodies and district-level committees.

What is the PM Vishwakarma scheme?

The PM Vishwakarma scheme is a Government of India programme that gives traditional artisans and craftspeople formal recognition, training, tools, credit and market access, so that they can improve the quality, scale and reach of their work. It is designed for people who practise a hereditary or family-based trade using their hands and simple tools, mostly in the unorganised sector.

The scheme treats the artisan as an entrepreneur-in-waiting. Rather than offering a single grant, it combines several supports that are usually missing together: an identity, a skill upgrade, modern tools, working capital and a route to customers.

PM Vishwakarma is a central sector scheme, which means that the Government of India provides the whole funding, without any cost-sharing by states. Implementation, however, relies on local bodies, district authorities, banks and training institutions.

Why was PM Vishwakarma launched?

PM Vishwakarma was launched because India’s traditional artisans form a large, skilled but economically fragile workforce that has had limited access to formal training, credit, modern tools and organised markets. Many artisans learn their craft within the family, work without written records and borrow from informal lenders at high cost.

Competition from machine-made goods, changing consumer tastes and rising input costs have also put pressure on traditional trades. Without recognition, training or finance, many artisans have found it hard to modernise, and some younger members of artisan families have moved away from the craft.

The scheme therefore has two linked goals: to preserve the traditional skills that form part of India’s cultural and economic heritage, and to improve the incomes of the people who practise them by integrating them with the wider economy, including domestic and global value chains.

Which trades are covered under PM Vishwakarma?

PM Vishwakarma covers 18 traditional trades, from carpentry and blacksmithing to tailoring and fishing-net making. The list focuses on occupations that depend on manual skill and the use of tools, and which are commonly passed down through families.

The list covers building trades, metalworking, textile and leather crafts, personal service trades and household craft products. The government can expand the list in future, but the 18 trades above formed the original coverage.

Who is eligible for PM Vishwakarma?

A person is eligible for PM Vishwakarma if they are an artisan or craftsperson working with their hands and tools in one of the 18 listed trades on a self-employed basis, are at least 18 years old and are registered under the scheme. The scheme aims at those in the unorganised sector who pursue a family-based traditional trade.

• Trade: engaged in one of the 18 listed trades at the time of registration.
• Age: a minimum age of 18 years at the time of registration.
• Prior credit schemes: not having taken a loan under similar credit-based government schemes for self-employment, such as PMEGP, PM SVANidhi or Mudra, during a defined recent period.
• Government service: neither the beneficiary nor family members in government service.
• One per family: registration and benefits are limited to one member of a family, where a family means spouse and unmarried children.

The detailed criteria are set out in the scheme guidelines, which should be checked on the official portal for the latest conditions.

How does registration for PM Vishwakarma work?

Registration for PM Vishwakarma is free and is done at a Common Service Centre (CSC) using a biometric-based process, followed by a verification through three stages. This process is intended to ensure that benefits go to genuine traditional artisans and to keep paperwork low.

1. The artisan registers on the PM Vishwakarma portal at a Common Service Centre, using Aadhaar-based biometric authentication and a mobile number.
2. The head of the Gram Panchayat or the Urban Local Body verifies that the person practises the trade.
3. The District Implementation Committee examines the application and recommends it.
4. A Screening Committee at the state level approves the application, after which the artisan receives a PM Vishwakarma certificate and an identity card.

Once registered, the artisan can opt for the benefits of the scheme. The identity card provides a basis for recognition and for access to the other components.

What benefits does PM Vishwakarma offer?

PM Vishwakarma offers six main benefits: recognition through a certificate and identity card, skill training with a stipend, a toolkit incentive, collateral-free credit, an incentive for digital transactions, and marketing support. These benefits are meant to work as a sequence from recognition to training, tools, finance and sales.

How does skill training work under PM Vishwakarma?

Skill training under PM Vishwakarma has two levels, basic and advanced, and registered artisans receive a stipend of Rs 500 per day while they train. The training is designed to upgrade existing skills rather than to teach the craft from scratch.

Basic training lasts for about five to seven days, or roughly 40 hours, and is followed by an assessment. Successful candidates receive a skill certificate and can then take advanced training of about 15 days, or around 120 hours, if they wish. Advanced training can include design, quality improvement, the use of modern machinery and digital skills.

The training also covers matters beyond craft technique, such as basic financial literacy, digital literacy and the skills needed to run a small business. The aim is to help artisans prepare for credit, record keeping and online marketing.

The toolkit incentive follows the training. After the basic course, the artisan receives an e-voucher of Rs 15,000, which can be used to purchase modern tools of the trade from approved sources.

How does credit support work under PM Vishwakarma?

Credit support under PM Vishwakarma provides collateral-free enterprise development loans in two tranches, an initial loan of up to Rs 1 lakh repayable over 18 months and a second loan of up to Rs 2 lakh repayable over 30 months. The loans carry a concessional interest rate, with the Government of India bearing the rest of the interest cost through an interest subvention.

• First tranche: up to Rs 1 lakh, available after the basic skill training, with an 18-month repayment period.
• Second tranche: up to Rs 2 lakh, available after the first loan is repaid satisfactorily and the artisan has taken up digital transactions and, in general, advanced training.
• Interest rate: a concessional rate of about 5 per cent for the artisan, with the government covering the difference up to a cap.
• Guarantee: the credit guarantee fee is paid by the government, through the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), so that banks can lend without collateral.

This structure is designed to encourage good repayment behaviour. The second, larger loan rewards artisans who have repaid on time and who are using digital payments, which also builds a formal credit history.

What marketing and digital support does PM Vishwakarma provide?

PM Vishwakarma provides marketing support in the form of quality certification, branding, linkage with e-commerce platforms, participation in trade fairs and advertising, together with an incentive for each digital transaction. This component recognises that skills and tools alone do not increase income unless artisans can reach customers.

The digital incentive is a small amount for each digital payment made or received, subject to a monthly cap on the number of transactions. It encourages artisans to use UPI and other digital payments, which in turn creates a record of their business that banks can use.

Marketing support aims to help products meet national and international quality standards, to develop a recognisable brand and to find buyers in urban and export markets. National Small Industries Corporation and other agencies assist with market linkages and exhibitions.

Who implements PM Vishwakarma?

PM Vishwakarma is implemented by the Ministry of Micro, Small and Medium Enterprises as the nodal ministry, together with the Ministry of Skill Development and Entrepreneurship and the Department of Financial Services in the Ministry of Finance. Each handles the component that matches its expertise: MSME handles the overall scheme and market support, skill ministry handles the training, and the finance department handles bank credit.

At the ground level, Common Service Centres handle registration, Gram Panchayats and urban local bodies carry out the first verification, and district and state committees approve applications. Banks and other lenders disburse the loans, while training partners deliver the courses.

A national monitoring structure supervises the programme, and the digital portal tracks each artisan’s progress from registration to training, toolkit and credit.

Why does PM Vishwakarma matter?

PM Vishwakarma matters because it is one of the few national schemes designed specifically for traditional artisans, bringing recognition, finance and training together in one package. India has a large population of artisans whose work forms part of the country’s cultural identity, and many of them have historically been left out of formal support systems.

The scheme is also significant for its approach. By requiring registration, linking loans to training and digital use, and providing the government guarantee and interest subvention, PM Vishwakarma tries to move artisans from informal borrowing to formal finance. This can reduce dependence on moneylenders and give artisans room to invest in better tools.

The ultimate measure of the scheme will be whether artisans’ incomes, product quality and market reach rise over time, and whether younger members of artisan families see a future in the craft. Reaching those outcomes will depend on the quality of training, the availability of buyers and the continued flow of credit.

Bottom Line

PM Vishwakarma is a five-year central scheme that supports traditional artisans in 18 trades with an identity, skill training, a toolkit, collateral-free credit and market and digital support. It aims to turn family-based craft into a more productive and better connected livelihood while keeping traditional skills alive.

Frequently Asked Questions

What is the PM Vishwakarma scheme?

The PM Vishwakarma scheme is a central sector scheme launched on 17 September 2023 to support traditional artisans and craftspeople in 18 trades. It provides a certificate and ID card, skill training with a stipend, a toolkit incentive, collateral-free credit and marketing support. The Ministry of MSME is the nodal ministry.

Which trades are covered under PM Vishwakarma?

PM Vishwakarma covers 18 traditional trades, including carpenter, boat maker, armourer, blacksmith, hammer and toolkit maker, locksmith, goldsmith, potter, sculptor, cobbler, mason, basket and broom maker, doll and toy maker, barber, garland maker, washerman, tailor and fishing net maker. These are mainly hand-skill, family-based occupations.

Who can apply for PM Vishwakarma?

An Indian artisan aged 18 or above who is self-employed in one of the 18 listed trades can apply, provided the eligibility conditions are met. Only one member of a family can register, and government employees are excluded. Applicants should also not have taken loans under certain similar credit schemes within the recent period set by the guidelines.

How much credit does PM Vishwakarma provide?

PM Vishwakarma provides collateral-free loans in two tranches: up to Rs 1 lakh in the first tranche and up to Rs 2 lakh in the second. The repayment periods are 18 months and 30 months respectively. The loans carry a concessional interest rate of about 5 per cent, with the government paying an interest subvention.

What training and stipend do PM Vishwakarma artisans get?

Registered artisans can take basic training of about five to seven days and advanced training of about 15 days, with a stipend of Rs 500 per day. After the basic course, they also receive a toolkit incentive of Rs 15,000 as an e-voucher. The training covers craft upgrades, digital skills and basic business knowledge.

How can an artisan register for PM Vishwakarma?

An artisan registers for free at a Common Service Centre using biometric authentication. The application is then verified by the Gram Panchayat or Urban Local Body, examined by a District Implementation Committee and approved by a Screening Committee. Approved artisans receive a PM Vishwakarma certificate and identity card.

{“@context”:”https://schema.org”,”@graph”:[{“@type”:”FAQPage”,”mainEntity”:[{“@type”:”Question”,”name”:”What is the PM Vishwakarma scheme?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”The PM Vishwakarma scheme is a central sector scheme launched on 17 September 2023 to support traditional artisans and craftspeople in 18 trades. It provides a certificate and ID card, skill training with a stipend, a toolkit incentive, collateral-free credit and marketing support. The Ministry of MSME is the nodal ministry.”}},{“@type”:”Question”,”name”:”Which trades are covered under PM Vishwakarma?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”PM Vishwakarma covers 18 traditional trades, including carpenter, boat maker, armourer, blacksmith, hammer and toolkit maker, locksmith, goldsmith, potter, sculptor, cobbler, mason, basket and broom maker, doll and toy maker, barber, garland maker, washerman, tailor and fishing net maker. These are mainly hand-skill, family-based occupations.”}},{“@type”:”Question”,”name”:”Who can apply for PM Vishwakarma?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”An Indian artisan aged 18 or above who is self-employed in one of the 18 listed trades can apply, provided the eligibility conditions are met. Only one member of a family can register, and government employees are excluded. Applicants should also not have taken loans under certain similar credit schemes within the recent period set by the guidelines.”}},{“@type”:”Question”,”name”:”How much credit does PM Vishwakarma provide?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”PM Vishwakarma provides collateral-free loans in two tranches: up to Rs 1 lakh in the first tranche and up to Rs 2 lakh in the second. The repayment periods are 18 months and 30 months respectively. The loans carry a concessional interest rate of about 5 per cent, with the government paying an interest subvention.”}},{“@type”:”Question”,”name”:”What training and stipend do PM Vishwakarma artisans get?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”Registered artisans can take basic training of about five to seven days and advanced training of about 15 days, with a stipend of Rs 500 per day. After the basic course, they also receive a toolkit incentive of Rs 15,000 as an e-voucher. The training covers craft upgrades, digital skills and basic business knowledge.”}},{“@type”:”Question”,”name”:”How can an artisan register for PM Vishwakarma?”,”acceptedAnswer”:{“@type”:”Answer”,”text”:”An artisan registers for free at a Common Service Centre using biometric authentication. The application is then verified by the Gram Panchayat or Urban Local Body, examined by a District Implementation Committee and approved by a Screening Committee. Approved artisans receive a PM Vishwakarma certificate and identity card.”}}]}]}