PM Shehbaz raises youth business and agri loan limit to Rs 25m

Prime Minister Shehbaz Sharif has substantially enhanced the financing ceiling under the Prime Minister’s Youth Business and Agriculture Loan Scheme, raising the maximum borrowing limit to 25 million rupees.

According to official government announcements and reporting from The Nation, the revised framework aims to provide young entrepreneurs, technology startups, and progressive farmers with the capital necessary to scale modern commercial ventures without exorbitant collateral barriers.

Key enhancements to the loan framework

The upgraded financing program introduces three distinct tiers for applicants:

• Micro tier (Up to Rs 500,000): Completely interest-free micro-financing disbursed through partner microfinance banks on personal guarantees.
• Small business tier (Up to Rs 5 million): Concessional financing at subsidized mark-up rates for expanding retail shops, bakeries, and workshops.
• Commercial and agri tier (Up to Rs 25 million): Substantial capital injections for mechanized agriculture, food processing, cold storage, and software firms.

Empowering youth employment

Officials noted that youth account for over sixty percent of Pakistan’s total population. By raising the lending threshold from previous caps of 7.5 million rupees, the government seeks to shift youth away from seeking public sector jobs toward becoming job creators and exporters in regional markets.