Everyone in the world experienced severe economic distress due to the global Covid-19 outbreak. In terms of livelihood and survival, the disease has disproportionately hurt the world's underprivileged population. The street sellers, who were among the worst impacted, suffered in an unanticipated way because their means of subsistence were destroyed. The standing committee of the Ministry of Housing and Urban Affairs (MoHUA) in December 2021 has reported many street vendors are yet to be covered under the scheme, the sanctions to disbursal ratio of the banks are not that encouraging, and many street vendors are yet to recover from the adverse impact of Covid on their businesses. The main objective of this research study was to determine how the pandemic affected the livelihood situations of street vendors and to identify methods for bolstering the urban economy in Karnataka cities following the outbreak. The study is confined to urban city in Karnataka – Bangalore. The government policy of promoting the livelihood of street vendors and digital transactions has led to the emergence of economic boost to the country after pandemic. A mixed research method, both quantitative and qualitative, was used in the present study. With a questionnaire, primary data was collected from 151 street vendors in the selected areas of Bengaluru city. The exploratory study's findings revealed that most street vendors lacked formal education, had low levels of income, were unaware of government-sponsored programmes, and were very unsatisfied with their line of work even after the lockdown was lifted. The study emphasized the necessity of promotion and creating awareness of government initiatives for the unorganized sectors.