ISLAMABAD: Prime Minister Nawaz Sharif on Saturday launched ‘Youth Business Loans’ to help young entrepreneurs to initiate their own businesses.
The program is designed to provide subsidized financing at 8 percent mark-up per annum for 100, 000 beneficiaries through National Bank of Pakistan and First Women Bank.
The total markup rate would be 15 percent but the government would pay the remaining 7 percent on behalf of applicants.
Those falling in the age group of 21 and 45 years are eligible to apply for loans from 100, 000 to 20, 00000 rupees.
Small business loans with tenure up to 7 years plus one year grace period and a debt-equity ratio of 90:10 will be disbursed across the country including four provinces‚ Gilgit-Baltistan‚ Azad Jammu and Kashmir and Federally Administered Tribal Areas.
SMEDA has been tasked with an advisory role in the implementation of Prime Minister’s scheme.
Speaking on the occasion‚ Chairperson of Prime Minister’s Youth Business Loans Maryam Nawaz said the launching of loans is in fulfillment of the Prime Minister Nawaz Sharif’s election commitments.
The chairperson said others only made pledges but the Pakistan Muslim League-Nawaz (PML-N) government despite financial crunch has successfully announced six youth welfare programmes including Youth Business Loans.
Maryam Nawaz said there are only three conditions for the applicants – they should be Pakistani‚ holder of valid Computerized National Identity Card and should have a guarantor.
She said forms of the Youth Business Loans would be available from Monday and these would be issued free of cost.
Special counters have been set up at banks and SMEDA offices to facilitate applicants and guide them.
Maryam Nawaz also explained the procedure for processing of applications and other details of the Youth Business Loans. She said that necessary checks have been put in place to ensure transparency of the Loans.
To download form of PM Youth Business Loans scheme; click here
