Prime Minister Youth Business & Agriculture Loans Scheme (SBP)
An exciting opportunity for the youth of Pakistan possessing entrepreneurial potential to make them financially independent for setting up or expanding their existing business.
The Scheme facilitates small and medium sized businesses as well as Agriculture sector for promotion in these sectors.
Term loans/ working capital loans and leasing/financing of machinery and locally manufactured vehicles for commercial use.
Only one vehicle per borrower is allowed. A borrower in food franchise and distribution business may avail financing for more than one vehicle.
Up to 65% of total financing limit can be availed for Civil Works
For agriculture, production and development loans are eligible
Tier 1(T1)
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Tier 2(T2)
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Tier 3(T3)
|
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Min & Max Financing
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Up to PKR500,000/ (*MFBs / MFIs)
|
Above 500,000/
& Up to PKR1,500,000/ |
Above PKR1,500,000/ & Up to PKR7,500,000/ |
Pricing
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0%
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Fixed at 5%
|
Fixed at 7%
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Debt: Equity
Ratio (New Business) Nil for Existing Businesses |
90:10
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90:10
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80:20
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*Micro Finance Banks / Micro Finance Institutions
Tiers | Security / Collateral |
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T1 | Clean (secured only by the personal guarantee of the borrower).In addition, rules & regulations of SECP/SBP shall be complied with by MFBs/MFIs |
T2 | Clean (secured only by the personal guarantee of the borrower). |
T3 | As per bank policy. |
Vehicle(s) financed under T1, T2 & T3 to serve as collateral. |
All SBP schemes are subject to: