PM Shehbaz directs plan to expand SME access to bank loans

Prime Minister Shehbaz Sharif directed on Tuesday the preparation of a comprehensive strategy in collaboration with the State Bank of Pakistan (SBP) and commercial banks to provide access to loans for small and medium enterprises (SMEs).

He also directed the provision of facilities for the supply of loans to SMEs to increase national exports during a review meeting on the Small and Medium Enterprise Development Authority (SMEDA), as per the Prime Minister’s Office (PMO).

PM Shehbaz also instructed that facilities should be provided to enhance the capacity of small and medium enterprises, “particularly in terms of awareness and loan provision for processing agricultural produce and fruits by farmers”.

He said that commercial banks should be encouraged to develop special products regarding the provision of loans to SMEs.

“Assistance should be provided to small and medium enterprises in preparing feasibility studies and other stages,” the premier directed.

Moreover, the PM said that emergency measures were necessary to remove obstacles to the development of SMEs.

“SMEDA should assist young people, including women entrepreneurs, in establishing small and medium enterprises.”

The meeting was briefed by SMEDA on various initiatives for the facilitation of SMEs and was informed that participation of 700 SMEs in 16 events had been ensured this year to provide access to global markets for Pakistani SMEs and to increase exports.

The meeting was also briefed that training on financial regulations and business was provided to SMEs in 35 cities.

The meeting was attended by Deputy Prime Minister and Foreign Minister Senator Muhammad Ishaq Dar, Federal Minister Dr Musadiq Malik, Special Assistant Haroon Akhtar, and relevant senior officials.

Chief Secretaries of all four provinces and sector experts also participated in the meeting via video link.