Govt Planning a Support Scheme for SMEs

Adviser to Prime Minister on Commerce and Investment Abdul Razak Dawood has announced that the government is finalizing a scheme to support Small and Medium Enterprises (SMEs) and to promote small businesses across the country.

The Adviser revealed that, “The government is finalizing a scheme to support SMEs across all sectors & this program will be announced shortly.”

Adviser to the PM on Finance Dr Abdul Hafeez Shaikh has already said that Rs. 100 billion had been allocated for supporting SMEs and the agriculture sector to deal with the impact of Covid-19 on the economy under the government’s relief package of Rs. 1.2 trillion.

“It is our endeavor to help small businesses as compared to larger ones because of their weaker financial position,” he added.

According to the details, some of the features of the scheme will include concessional loans to SMEs and the agriculture sector. SMEs, industry and agriculture will see deferment of loans — both principal and interest.

Over the past month, the SBP key interest rate has seen a cumulative reduction of 4.25 percent.