PM Vishwakarma Yojana 2026: ₹3 Lakh Loan at 5%, Toolkit

PM Vishwakarma Yojana gives traditional artisans in 18 listed trades a collateral-free loan of up to ₹3 lakh at 5% interest, a toolkit worth up to ₹15,000, paid skill training with a ₹500 a day stipend, and a certificate and ID card. As of October 2026 the scheme is active (its approved period runs to FY2027-28), but its target of 30 lakh registrations has already been reached, so confirm at your Common Service Centre (CSC) whether new registrations are being accepted before you apply.

All terms below come from the Ministry of MSME scheme document and PIB's September 2026 update, and are as of October 2026.

What PM Vishwakarma offers

PM Vishwakarma is a central sector scheme of the Ministry of MSME, launched on 17 September 2023 with an outlay of ₹13,000 crore for FY2023-24 to FY2027-28.

To get the second loan you must have repaid the first, and either adopted digital transactions in your business or completed advanced training.

The 18 eligible trades

Carpenter (suthar), boat maker, armourer, blacksmith (lohar), hammer and tool kit maker, locksmith, goldsmith (sonar), potter (kumhar), sculptor or stone carver and stone breaker, cobbler or footwear artisan, mason (rajmistri), basket, mat, broom maker or coir weaver, traditional doll and toy maker, barber (nai), garland maker (malakar), washerman (dhobi), tailor (darzi) and fishing net maker.

Eligibility

• Age 18 or above, working with hands and tools in one of the 18 trades, self-employed in the unorganised sector, and engaged in that trade at the time of registration.
• One member per family, where family means husband, wife and unmarried children.
• No loan in the last five years under a similar central or state credit-based scheme for self-employment or business development, such as PMEGP. Mudra and PM SVANidhi borrowers who have fully repaid are eligible.
• Not for government employees or their family members.

Documents you need

• Aadhaar card, with the mobile number linked for OTP
• Bank passbook or account details (verified through NPCI)
• Ration card for family details; if you do not have one, Aadhaar of all family members
• Proof of your trade, usually through self-declaration and local verification

The scheme is built on self-declaration plus verification by your gram panchayat or urban local body, so you do not need a project report for the loan.

How to apply for PM Vishwakarma

1. Visit a Common Service Centre. Registration is done only through CSCs, with Aadhaar and biometric authentication. The CSC operator fills the form on pmvishwakarma.gov.in.
2. Three-stage verification. Your gram panchayat head or urban local body verifies you, the District Implementation Committee vets and recommends, and a Screening Committee approves.
3. Get your certificate and ID card. Log in on the portal with your registered mobile number to download them and track status.
4. Complete basic training. You receive ₹500 a day as stipend. Your skill certificate makes you eligible for the toolkit incentive and the first loan.
5. Loan application goes to the bank. The lender sanctions the first tranche of up to ₹1 lakh, with CGTMSE guarantee and no collateral.
6. Repay and go digital to become eligible for the second tranche of up to ₹2 lakh.

Registration at CSCs and on the portal is free. Nobody is authorised to collect a fee for "approval" or for a toolkit.

Worked example: cost of a ₹3 lakh PM Vishwakarma loan

Take a tailor who borrows the first tranche of ₹1 lakh over 18 months and later the second tranche of ₹2 lakh over 30 months, both at the scheme rate of 5%.

First tranche (₹1 lakh, 18 months, 5%)

• Monthly rate r = 5 / 12 / 100 = 0.004167
• EMI = P × r × (1 + r)^n / [(1 + r)^n − 1] = ₹5,778
• Total interest = ₹5,778 × 18 − ₹1,00,000 = about ₹4,005

Second tranche (₹2 lakh, 30 months, 5%)

• EMI = ₹7,106
• Total interest = about ₹13,176

For comparison, at an illustrative 13% market rate the first tranche would cost about ₹10,606 in interest (EMI ₹6,145). On top of the cheaper loan, the tailor can receive the ₹15,000 toolkit incentive and, for example, ₹2,500 for five days of basic training plus ₹7,500 for 15 days of advanced training. Run your own numbers in the EMI calculator.

Why applications get stuck or rejected

• Trade not in the list, or the work is not done with hands and tools on a self-employed basis.
• Another family member already registered. Only one member per family can benefit.
• A loan under a similar scheme in the last five years that is not fully repaid, such as PMEGP or an unpaid Mudra or PM SVANidhi loan.
• Verification not done at the gram panchayat or urban local body level, often because the applicant was not available or details did not match.
• Bank-side issues: Aadhaar-bank seeding, a default or written-off loan on your credit report, or an inactive account. Check your report with our guide on how to check your CIBIL score free.

How to complain

1. Bank branch first for loan delays. Ask in writing and note the date.
2. PM Vishwakarma helpline 18002677777 (toll free) for registration, training, toolkit and loan status queries. Confirm the current number on pmvishwakarma.gov.in.
3. District Industries Centre (DIC) or MSME Development and Facilitation Office in your state for escalation.
4. RBI Integrated Ombudsman at cms.rbi.org.in if the bank does not resolve your complaint within 30 days.
5. CPGRAMS at pgportal.gov.in for delays by a government office.

Watch for fake portals. The official site is pmvishwakarma.gov.in. Social media pages and websites asking for a "registration fee", "toolkit delivery charge" or your OTP are scams. Report fraud at cybercrime.gov.in or call 1930.

If you are not eligible

If your trade is not covered or you need more than ₹3 lakh, a Mudra loan is the usual route; see business loans and Mudra loans. If you are starting a new manufacturing or service unit, check the capital subsidy in our PMEGP loan subsidy guide. Street vendors should look at PM SVANidhi Yojana. All schemes are compared in government business loan schemes.

Key takeaways

• PM Vishwakarma is active as of October 2026 and runs to FY2027-28; its 30 lakh registration target was reached in 2026, so check with your CSC that new registrations are open.
• Artisans in 18 trades get up to ₹3 lakh (₹1 lakh, then ₹2 lakh) without collateral at a fixed 5%.
• A ₹1 lakh loan over 18 months at 5% has an EMI of ₹5,778 and costs about ₹4,005 in interest.
• The toolkit incentive is up to ₹15,000, and training carries a ₹500 a day stipend.
• Registration is only through CSCs and is free; never pay an agent or share your OTP.