KARACHI: The State Bank of Pakistan (SBP) on Thursday announced the official procedure for obtaining a loan under the Prime Minister’s Kamyab Jawan SME Lending Program, a flagship initiative aimed at empowering youth and small enterprises across the country.
In a detailed circular issued to all banks, the SBP emphasized the vital role that small and medium enterprises (SMEs) play in stimulating economic growth. According to the central bank, SMEs contribute significantly by creating employment opportunities, encouraging innovation, and helping to bridge the gap in income inequalities.
The SBP acknowledged that one of the primary challenges faced by young entrepreneurs and small businesses is limited access to affordable financing. Traditional banking systems often shy away from lending to these segments due to perceived risk, lack of collateral, or weak credit histories. To address this gap, the Government of Pakistan, with the support of the SBP, has launched the Kamyab Jawan SME Lending Program to facilitate easier access to formal credit.
Under this scheme, eligible individuals and businesses can apply for concessional loans through participating commercial banks, with attractive terms including low interest rates and flexible repayment plans. The primary objective of the program is to provide self-employment opportunities to unemployed youth and enable small businesses to grow and expand.
The SBP has laid out a streamlined process for banks to evaluate and approve loan applications under the scheme, ensuring transparency and efficiency. The central bank also stressed the importance of inclusive financing, particularly for women entrepreneurs and startups in underdeveloped areas.
Officials from the SBP stated that the central bank will work closely with financial institutions to monitor progress and address any hurdles that may arise during implementation. The program is expected to create thousands of new jobs and contribute to economic stability by strengthening the SME sector.
With easy access to loans, aspiring entrepreneurs now have an opportunity to turn their ideas into reality. The loan scheme is not just a financial product—it is a step toward long-term socio-economic development, and the SBP remains committed to supporting this vision through robust policy support and regulatory oversight.