PM Shehbaz directs increase in SME loans to Rs2.2 trillion by 2028

Prime Minister Shehbaz Sharif has directed authorities to increase the total volume of loans for small and medium enterprises (SMEs) from Rs1.1 trillion to Rs2.2 trillion by 2028 to support business development and economic growth.

Chairing a meeting on the Small and Medium Enterprises Development Authority (SMEDA), the prime minister said the business community was the backbone of the economy and that SMEs had considerable potential to strengthen Pakistan’s economy.

He said ongoing reforms in SMEDA were aimed at empowering small and medium-sized business owners and creating opportunities for entrepreneurship across the country.

The prime minister said providing business opportunities to people in underdeveloped areas would help reduce migration to major cities and contribute to economic development in those regions.

He directed SMEDA to prepare a comprehensive strategy to inform more people about procedures for obtaining business loans and raise public awareness about entrepreneurial opportunities.

The prime minister also directed that feasibility studies for establishing businesses in various sectors be prepared by experts and made available in local languages to facilitate aspiring entrepreneurs.

During the meeting, officials briefed the prime minister on SMEDA reforms and measures being taken to promote small and medium enterprises.

The meeting was informed that SMEDA was being transformed into a central platform to provide training to prospective business owners and facilitate their access to financial assistance from banks.

Officials said SMEDA offices were being established across the country to improve outreach to the SME sector.

An artificial intelligence-based helpline was also being developed to provide information and guidance to citizens in local languages.

The meeting was informed that SMEDA had signed a memorandum of understanding with global e-commerce company Alibaba to provide training to 10,000 SMEs over two years.

Officials also briefed the prime minister on reforms to make the SME digital portal more effective and user-friendly for entrepreneurs.

Federal Ministers Rana Tanveer Hussain, Jam Kamal Khan, Dr. Musadik Masood Malik, Ahad Khan Cheema, Attaullah Tarar and Chaudhry Salik Hussain attended the meeting.

Minister of State for Finance Bilal Azhar Kayani, Adviser to the Prime Minister Haroon Akhtar, Prime Minister’s Youth Programme Chairman Rana Mashhood Ahmed Khan and senior officials from relevant institutions were also present.