Prime Minister''s Youth Business Loan Scheme approved
Prime Minister Nawaz Sharif said on Monday that his government would support talented and unemployed youth of the country to make them self-reliant. While chairing a meeting to review the Prime Minister''s Youth Programme, the PM approved Prime Minister''s Youth Business Loan Scheme under which three and a half lacs youth will be given loans.
Copyright Business Recorder, 2013
The PM was apprised that the net beneficiaries from the loan scheme would be about 10 million people hailing from the length and breadth of the country. He directed the relevant officials to ensure complete transparency and fairness in the process of loan disbursement, adding that "no political and administrative interference will be tolerated in the loan scheme." The PM said he would personally supervise and monitor the scheme; so that the youth of the country gained maximum benefits from it.
The small business loan scheme would provide loans to unemployed youth, especially educated youth looking for establishing or extending business enterprises. All Pakistani men and women aged between 21 and 45 with entrepreneurial potential would be eligible for the scheme, with 50 percent quota reserved for women.
Under supervision of the State Bank of Pakistan, initially National Bank and First Women Bank would execute the scheme whereas other banks may join in after approval of their respective business plans. Loans would range from Rs 0.5 to 2.0 million with average loan size of Rs 1.25 million. The debt-equity ratio for these schemes would be 90:10 with tenure of seven years.
The meeting was also attended by Finance Minister Ishaq Dar, Minister Information Senator Pervaiz Rasheed, Secretary to PM Javed Aslam, Secretary Finance Dr Waqar Masood Khan, Governor SBP Yaseen Anwar, President First Women Bank Chairman Hidayatullah, Acting President NBP Asif Hassan, CEO Smeda Ahmad Nawaz Sukhera, and other senior officers of the PM Office.-PR