Islamabad: Prime Minister Shehbaz Sharif has underscored the critical role of small and medium enterprises (SMEs) in Pakistan’s economic landscape, advocating for their development as a means to generate employment and stimulate economic activity. He commended the efforts of leading commercial banks for their contribution to extending loans to housing, SME, and agricultural sectors.

According to Radio Pakistan, the Prime Minister’s comments came during a meeting with presidents and chief executive officers of high-performing banks in Islamabad. The discussion focused on the Prime Minister’s loan schemes designed to enhance financial accessibility for common citizens, entrepreneurs, and farmers.

Emphasizing the importance of streamlined financial processes, the Prime Minister instructed the State Bank of Pakistan to simplify the loan approval and disbursement procedures. This, he argued, would enable a broader spectrum of beneficiaries to avail themselves of the financial resources necessary for growth in the SME, housing, and agriculture sectors.

In particular, the Prime Minister highlighted the significance of agricultural financing as a pivotal factor in boosting farmers’ economic well-being, increasing agricultural output, and ensuring food security. Instructions were given to prioritize small farmers, facilitating their adoption of modern agricultural practices.

The meeting revealed that loans amounting to 426 billion rupees have been approved under the Prime Minister’s Apna Ghar Programme, with 76 billion rupees already disbursed. For the financial year 2026-27, a target of 700 billion rupees has been set to support the construction of 125,000 housing units.

In the SME sector, loans totaling 1,137 billion rupees have been extended to over 350,000 entrepreneurs. The government aims to expand SME financing to 1,500 billion rupees, reaching 565,000 beneficiaries by June next year.

Agricultural financing now stands at 1,352 billion rupees, benefitting more than 3.4 million people, with a target to increase this to 1,500 billion rupees and 4.5 million beneficiaries by June next year.

The banking delegation expressed appreciation for the Prime Minister’s leadership and voiced confidence in the government’s economic policies, committing to strengthen cooperation to advance financing in priority sectors.