Government plans to expand financial support for young entrepreneurs, reduce the minimum loan eligibility age to 18, and reserve 30% of loans for women.
LAHORE: Prime Minister Shehbaz Sharif has announced a significant increase in the maximum loan limit under the Prime Minister’s Youth Business and Agriculture Loan Schemes, raising it from Rs7.5 million to Rs25 million to encourage entrepreneurship and support agricultural development across Pakistan.
The decision was made during a high-level review meeting chaired by the Prime Minister in Lahore, where officials discussed the performance of existing loan programmes and proposed measures to make financial assistance more accessible to young people.
During the meeting, the Prime Minister directed the relevant authorities to reduce the minimum age requirement for obtaining loans from 21 to 18 years. The move is intended to enable younger individuals to access financing and explore business opportunities at an earlier stage.
In another important development, Shehbaz Sharif instructed officials to allocate 30 percent of the total loans to women, aiming to strengthen their participation in business activities and promote financial independence.
Under the revised loan schemes, eligible applicants will be able to obtain financing through easy installment plans, helping them establish new businesses, expand existing ventures, and invest in agricultural activities.
According to government officials, a total of Rs292 billion has been allocated for the current financial year to provide loans to young entrepreneurs and individuals associated with the agriculture sector.
The Prime Minister also directed the Small and Medium Enterprises Development Authority (SMEDA) to provide comprehensive support to aspiring entrepreneurs. This assistance will include business planning, professional guidance, technical expertise, and consultancy services to help young people develop sustainable businesses.
Speaking at the meeting, Shehbaz Sharif emphasized that Pakistan’s youth represent one of the country’s most valuable assets. He reaffirmed the government’s commitment to empowering young people by creating economic opportunities and helping them utilize their skills and potential.
Officials informed the meeting that since January 2023, approximately 581,341 young people have received loans under the government’s youth financing initiatives.
The total value of loans disbursed during this period has reached Rs313.9 billion, reflecting the scale of financial assistance provided through these programmes.
The meeting was further informed that during the 2026–27 financial year, the government expects to provide approximately Rs292 billion in loans to around 266,700 young beneficiaries.
The expanded financing initiatives are aimed at promoting self-employment, encouraging entrepreneurship, strengthening agricultural productivity, and generating new employment opportunities.
The government expects that improved access to financing, particularly for young people and women, will contribute to economic activity and support the growth of small and medium-sized businesses across the country.
Further details regarding the application process, eligibility requirements, and implementation of the revised loan limits are expected to be provided by the relevant authorities.