ISLAMABAD: Prime Minister Shehbaz Sharif on Tuesday launched ‘Youth Business and Agricultural Loan Scheme’, ARY News reported.
Speaking at the launch ceremony of the initiative, the prime minister Shehbaz Sharif said that under scheme the government will provide Rs0.5 million interest-free loan to youth.
PM Shehbaz Sharif went onto say that 5 % interest will be charged on the loan of over Rs0.5 million to 1.5 million while 7 per cent interest rate will be charged on the loan of over Rs1.5 million to 7.5 million rupees.
“The initiative is aimed at promoting self-employment and entrepreneurship amongst the youth,” he said. PM Shehbaz said that the PML-N government in its last tenure had provided laptops Rs75 billion loan to 54,000 youths.
The PM Shehbaz Sharif announced his government has decided to restore PM Laptop Scheme and in first phase 100,000 laptops would be distributed among deserving students.
While speaking on IMF plan, he said that the coalition government wants to complete the 9th review without any further delay and he had told IMF chief executive about Pakistan’s willingness.
“I have told the IMF chief executive that Pakistan is willing to to complete the pending review and incorporate the conditions raised by it,” he added.
All you need to know about loan scheme
People in the age bracket of 21 and 45 years can avail the loan facility of up to 7.5 million rupees under these schemes. For IT and E-commerce businesses, the lower age limit is eighteen years.
Micro-financing through small business loans will promote a norm of job creation rather than job seeking among the country’s youth bulge.
The addition of agricultural loans will help the rural youth in bringing innovation to farming which can include mechanized farming, the creation of agricultural value chains and the Solarization of farming equipment to create more sustainable energy resource management in a climate-challenged country like Pakistan.
Loans of up to 1.5 million rupees can be availed on personal guarantee of the borrower.
There will be no interest rate on the loan of up to 0.5 million rupees. Five percent interest will be charged on the loan of over 0.5 million to 1.5 million rupees. Seven percent interest rate will be charged on the loan of over 1.5 million rupees to 7.5 million rupees.
25 percent quota has been reserved for women. Islamic banking facilities can also be availed on the loan scheme.