Boil water in a heavy-bottomed saucepan. Put raisins in a steamer strainer and place it over the boiling water. For steaming, cover the saucepan for 5 minutes.
In another medium saucepan, add butter and yogurt cream cheese. Turn on the stove over low heat. Cook until the butter is melted and yogurt cheese is wilted. Whisk them heavily for few minutes.
Remove from heat and pour the yogurt mixture into a large bowl.
Start adding powdered sugar just 1 cup at a time and stir to combine. Continue adding powdered sugar and mix until the mixture becomes creamy. Do not add more powdered sugar if the mixture starts becoming dry.
Now add vanilla extract and mix. Finally, add steamed raisins and stir to coat them well in the yogurt mixture.
Pour the mixture over a waxed paper. Let the yogurt covered raisins dry for at least 4 hours or ideally overnight.
The delicious yogurt covered raisins are ready to enjoy.