SAPM Haroon calls for unified efforts to fast-track SMEs financing

ISLAMABAD: Special Assistant to the Prime Minister (SAPM) for Industries and Production, Haroon Akhtar Khan on Friday called for a coordinated national effort to significantly enhance access to finance for small and medium enterprises (SMEs), in line with the SME Development vision of the prime minister.

Chairing a high-level meeting on SME financing, he emphasized the need for stronger collaboration among federal and provincial governments, financial institutions and development stakeholders, said a news release.

The SAPM directed the Small and Medium Enterprises Development Authority (SMEDA) to lead efforts in building partnerships that accelerate credit access for SMEs across Balochistan, Khyber Pakhtunkhwa, and Azad Jammu and Kashmir.

“SMEDA must play a proactive role in engaging stakeholders and facilitating linkages that enable entrepreneurs to access financing and scale their businesses,” he said. “It should form a working group to synchronize efforts through training and connectivity,” he added.

Lauding the Punjab government’s initiatives under the Asaan Karobar Finance Scheme, he asked other provinces to replicate the financing model and increase the number of beneficiaries in the country.

Haroon said other banks also were doing a commendable job by providing finance to SMEs through various mechanisms.

CEO SMEDA Nadia Jahangir Seth highlighted her organization’s role in promoting access to finance which is an important pillar of its Business Plan and expressed resolve to expedite efforts to improve the SME finance ecosystem.

“We will intensify collaboration with provincial governments, the Pakistan Banks Association and other partners to facilitate SME access to credit for business growth,” she said, adding that special focus would be placed on designing inclusive programmes and training for entrepreneurs in underserved areas.

Earlier, the Punjab Small Industries Corporation (PSIC) gave a presentation on CM Punjab’s Asaan Karobar Finance Scheme under which a record Rs100 billion have been disbursed among entrepreneurs in less than one year.

Officials said the scheme, which has been launched through the Bank of Punjab, had proved a success. They said more than 110,000 people were beneficiaries and almost 50pc of borrowers were from low-income groups.

A representative of the State Bank of Pakistan provided an overview of the current financing landscape, noting progress in some regions while highlighting gaps in Khyber Pakhtunkhwa and Balochistan. He underscored the need for targeted interventions to expand financial inclusion in these areas. APP