Disbursements under PMYBL reach Rs 8.5 billion

Banks' loan disbursement under the Prime Minister Youth Business Loan (PMYBL) scheme has reached Rs 8.5 billion at the end of September 2016. According to State Bank of Pakistan's (SBP) PMYBL Quarterly Review for September 2016, on year-on-year basis, a growth of 56 percent was observed with respect to loans disbursement under the PMYBL scheme. Overall, disbursement by all the Executing Agencies (ECs) rose to Rs 8.561 billion at the end of September, 2016 up from Rs 5.473 billion at the end of September, 2015 and Rs 8.145 billion in June, 2016.
With the addition of 454 fresh borrowers, total number of beneficiaries under the scheme increased to 8,926 as on September 30, 2016 from 8,472 on June 30, 2016. A total disbursement of Rs 416 million was made during July to September 2016 under PMYBL registering a growth of 5 percent over the total disbursements at the end of June, 2016. National Bank of Pakistan (NBP) disbursed an amount of Rs 273 million during the quarter followed by Summit Bank that significantly improved its performance under the scheme by disbursing loans amounting to Rs 73 million during the quarter.
The sanctioned amount under PMYBL increased from Rs 17.219 billion at the end of June, 2016 to Rs 18.315 billion at the end of September, 2016, registering a growth of 6 percent. National Bank sanctioned an amount of Rs 892 million during July-September, 2016 quarter followed by Summit Bank that sanctioned Rs 105 million during the quarter. This made Summit Bank the third largest bank under PMYBL after NBP and First Women Bank (FWBL).
Allied Bank Limited, Askari Bank Limited, JS Bank and Dubai Islamic Bank Limited did not show any progress with respect to both receipts of new applications as well as sanctioning of new loans during the quarter. Bank Alfalah, Faysal Bank, Habib Metropolitan Bank, MCB and Soneri Bank continued to show a dismal performance as no loan has been sanctioned by these banks under the scheme despite added emphasis on these banks by the SBP to extend financing under PMYBL, the central bank reported.
Of 72,961 applications received since 2013, the number of sanctioned applications stood at 18,144 as on September 30, 2016. Punjab has the largest share with respect to both the number of applications received as well as loans disbursed under the scheme followed by KPK and Sindh. National Bank of Pakistan, First Women Bank, Summit Bank and Meezan Bank emerged as the top four performers with respect to loan disbursement under the scheme.
According to PMYBL Quarterly Review, the number of applications received by the Executing Agencies under the scheme in July-September 2016 saw a growth of 2 percent over April-June 2016 period. Of the total applications received so far under the scheme, 86 percent were from male applicants while the share of female applicants was at 14 percent.