PM removes 80% export condition for SMEs to get long-term loans
ISLAMABAD (Agencies): Prime Minister Muhammad Shehbaz Sharif has directed to remove the condition of 80 percent exports for Small and Medium Enterprises (SMEs) to avail the Long Term Financing Facility (LTFF), stressing that no bank will be allowed to deviate from concessional financing schemes for SMEs and exporters.
The Prime Minister issued the directives while chairing a high-level meeting on facilitation of export-oriented SMEs on Thursday, the Prime Minister’s Office said.
“The government will provide all possible support for enhancing capacity, improving skills and promoting businesses of SMEs,” the Prime Minister said, adding that government patronage and facilitation for SME development must be ensured.
PM Shehbaz warned that no bank will be allowed to deviate from implementation of concessional financing schemes for SMEs and exporters.
He also directed to improve accreditation standards, expansion of laboratories and other regulatory procedures for facilitation of exporters, and to establish modern laboratories at their doorstep.
The meeting was briefed on recent consultative sessions with SME representatives and their issues. It was informed that issues related to taxes, refunds, provincial levies, accreditation, logistics, payments and financing were discussed.
The briefing said the number of export-related SMEs in Pakistan is around 17,000. More than 10,000 applications have been received after the State Bank of Pakistan launched a portal for easy access to loans for the SME sector from November 1.
It was informed that Rs 300 billion has been allocated for SME sector and new exporters under the Export Finance Scheme, while Rs 350 billion has been allocated this year for the Long Term Growth Financing Facility (LTGFF). Steps are also being taken to increase Pakistani exports to African countries.
Deputy Prime Minister and Foreign Minister Senator Ishaq Dar, Federal Ministers Rana Tanveer Hussain, Ahsan Iqbal, Jam Kamal Khan, Dr Musadik Malik, Ahad Khan Cheema, Muhammad Aurangzeb, Attaullah Tarar, Ali Pervaiz Malik, Owais Leghari, Adviser Haroon Akhtar, Minister of State Bilal Azhar Kayani, Parliamentary Secretary Zulfiqar Ali Bhatti, Chairman Standing Committee Javed Hanif Khan, Governor SBP Jameel Ahmed and senior officials attended the meeting.