Prime Minister Shehbaz Sharif on Sunday, November 8, raised the maximum individual loan under the Prime Minister’s Youth Business and Agriculture Loan Schemes from Rs7.5 million to Rs25 million, and lowered the minimum age for applicants from 21 to 18 years.
What happened?
The decisions were taken at a review meeting chaired by the prime minister in Islamabad to look at how loans are being provided to young people and how the two schemes are being implemented. Finance Minister Muhammad Aurangzeb, Special Assistant on Youth Affairs Rana Mashhood Ahmad Khan, and Special Assistant on Political Affairs Talha Barki attended the meeting.
Key details
- Maximum individual loan raised from Rs7.5 million (about $27,109) to Rs25 million (about $90,364), to be repaid in easy instalments.
- A total of Rs292 billion has been allocated this year for loans to young people under the schemes.
- Around 266,700 young people are expected to receive loans worth Rs292 billion in the 2026-27 financial year.
- 30 per cent of the loans will be reserved for women, to support their economic independence and participation in business and agriculture.
- The minimum age for applicants has been reduced from 21 to 18 years.
- The Small and Medium Enterprises Development Authority (SMEDA) has been directed to give young applicants full support, including help starting a business, guidance, business consultancy and technical assistance.
What it means for people in Pakistan
Young people can now apply for much larger loans at a younger age, making it easier to start a business or take up farming straight after school. The 30 per cent share for women opens a dedicated route for young women entrepreneurs, and SMEDA’s support is meant to help first-time borrowers turn a loan into a working business.
Source: https://tribune.com.pk/story/2639308/pm-shehbaz-raises-youth-loan-limit-to-rs25m-under-business-agriculture-schemes?amp=1
