In a bid to alleviate the financial burden caused by the coronavirus outbreak, the federal government has introduced a comprehensive support package for small industrial and commercial units.
The “Chotae Karobar o Sanat Imdadi Package” aims to provide crucial relief to businesses struggling during these challenging times.
Announced on Monday, the package includes the payment of three months’ worth of electricity consumption for commercial connections up to 5 KW and industrial connections up to 70 KW. This initiative is designed to support small businesses, which represent a significant portion of the country’s economic landscape.
Key Features of the Support Package
The “Chotae Karobar o Sanat Imdadi Package” will cover the electricity bills for three months, specifically from May to July 2019, and the amounts will be credited to the accounts of eligible businesses. These funds can then be utilized over the next six months, providing much-needed financial relief to small enterprises.
Eligibility and Benefits
• Commercial Units: Connections up to 5 KW will benefit from this scheme, which constitutes 95% of commercial connections in Pakistan.
• Industrial Units: Connections up to 70 KW are eligible, covering 70-80% of industrial connections in the country.
The total support will be capped at Rs. 100,000 for commercial connections and Rs. 450,000 for industrial connections. This cap ensures that the benefits are directed primarily towards small-scale businesses, which are more vulnerable to economic disruptions.
Widespread Impact
This support package is expected to benefit over 3.5 million firms across Pakistan, most of which are small enterprises. By alleviating the cost of electricity, the government aims to help these businesses manage their operational costs better and sustain their activities during and after the pandemic.
Government’s Commitment to Economic Support
The announcement of the “Chotae Karobar o Sanat Imdadi Package” underscores the government’s commitment to supporting the backbone of the economy – small businesses. As the pandemic continues to pose significant challenges, such measures are vital to ensuring the resilience and recovery of the industrial and commercial sectors.
Conclusion
The federal government’s initiative to cover electricity costs for small businesses is a timely and necessary intervention. By targeting the most vulnerable sectors, this package not only provides immediate relief but also helps sustain economic activity in the long run. As Pakistan navigates through the economic ramifications of the COVID-19 pandemic, continued support and innovative solutions will be essential in fostering recovery and growth.