ISLAMABAD: Prime Minister Shehbaz Sharif has increased the maximum individual loan under the Prime Minister’s Youth Business and Agriculture Loan Schemes from Rs7.5 million to Rs25 million, expanding financing opportunities for young entrepreneurs and farmers.
Chairing a review meeting on November 8, the prime minister also directed authorities to reduce the minimum eligibility age from 21 to 18 years and reserve 30 per cent of loans for women. The measures aim to widen participation in business and agricultural activities.
The meeting reviewed loan distribution, implementation progress and arrangements for supporting young people seeking to establish or expand businesses.
Participants were informed that financing under the enhanced ceiling would be provided through easy instalments. The government has allocated Rs292 billion for youth lending during the 2026–27 financial year, with an estimated 266,700 young people expected to benefit.
Shehbaz praised Finance Minister Senator Muhammad Aurangzeb and his team for developing arrangements to support youth through business and agricultural financing.
The prime minister instructed officials to reserve 30 per cent of loans for women, linking the allocation to greater economic independence and increased participation in entrepreneurial activities.
He also ordered the minimum borrowing age to be lowered to 18, allowing younger applicants to pursue business ideas and agricultural opportunities earlier.
The directions formed part of discussions on empowering young people, expanding access to economic opportunities and strengthening their involvement in agriculture.
Shehbaz directed the Small and Medium Enterprises Development Authority, known as SMEDA, to assist young applicants with business development guidance, consultancy and technical support.
The instructions covered help with starting businesses, alongside assistance available through the schemes. Relevant authorities were also tasked with launching a nationwide awareness campaign explaining the financing opportunities and related government initiatives.
The campaign is intended to reach more potential applicants and improve public understanding of the support available.
Officials Report Growth in Loan Distribution
According to the briefing, 581,341 young people have received loans since January 2023, with total disbursements reaching Rs313.9 billion. Officials described the beneficiary count as ten times that recorded during the preceding decade.
Shehbaz described young people as a valuable national asset and reaffirmed the government’s commitment to developing their potential and supporting decent, productive employment.
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The meeting was attended by Aurangzeb, youth affairs adviser Rana Mashhood Ahmad Khan and political affairs adviser Talha Barqi.
