Promotion of Small Medium Enterprises (SMEs)

A focused industrial and skills strategy has been developed under the growth framework envisioned in the recently approved Punjab Growth Strategy and includes several key pillars. Under these the government will; support provision of affordable and quality industrial land and infrastructure; increase affordable credit to SMEs; up-grade Human Capital in the province for industrial growth; strengthen and develop key clusters; Provide business development services; Implement measures to increase private sector investment (domestic and international); and use of spatial planning and spatial strategy measures to address disparities and improve performance of industrial assets.

The Industries, Commerce Investment & Skills Development Department also aims to develop and approve the MSME strategy of Punjab to address the focused concerns of small businesses especially relating to ease of doing business, credit, skills and business development services. The department has initiated a loan mark-up scheme for critical value position SME industries to ensure affordable access to finance as well as an enterprise development fund to encourage entrepreneurship at all levels.

Progressing Punjab Entrepreneur Development Scheme (PPED)

  • PKR 6 Billion Allocation
  • Loan up to PKR 3 million for new start-ups
  • Based on Turkish model
  • Estimated 4,50,000 direct employment
  • 15% allocation for women

Loan Markup Support Program (LMSP)

  • Upto 3.5 % markup support
  • PKR 3 Billion Allocation
  • 15% allocation for women
  • Estimated 112,125 direct jobs

Credit Guarantee Scheme (CGS)

  • Providing guarantee to SMEs possessing no collateral
  • PKR 2.5 Billion Allocation
  • Estimated 93,750 jobs will be created