Lahore: The Small and Medium Enterprises Development Authority (SMEDA), under the guidance of Special Assistant to the Prime Minister Haroon Akhtar Khan, has initiated a series of high-level meetings aimed at boosting SME financing across Pakistan. These consultations, held in collaboration with the State Bank of Pakistan, saw participation from significant stakeholders such as Sindh Bank, Bank of Khyber, Pakistan Banks Association, and provincial industries departments from Sindh, Balochistan, Khyber Pakhtunkhwa, Azad Jammu and Kashmir, and Gilgit Baltistan.
According to Small and Medium Enterprise Development Authority, the meetings, spearheaded by SMEDA CEO Nadia Jahangir Seth, are part of a broader strategy to align with Prime Minister Shehbaz Sharif’s vision for SME development. Emphasizing the importance of expanding credit access, Ms. Seth urged stakeholders to increase SME financing and the number of beneficiaries in their respective regions. The meetings highlighted the successful SME financing model developed by the Bank of Punjab, which has benefited over 110,000 people, with nearly half of the borrowers from low-income groups.
Presentations from the State Bank of Pakistan revealed current SME financing figures, with Rs30.48 billion in Khyber Pakhtunkhwa, Rs7.19 billion in Balochistan, Rs3.96 billion in Gilgit-Baltistan, and Rs5.48 billion in Azad Jammu and Kashmir. Participants also reviewed positive trends in Sindh, noting growth in loans and borrower numbers, supported by the Sindh Enterprise Development Fund’s track record of zero non-performing loans.
Challenges such as geographic disparities, declining borrower numbers, and low digital literacy were discussed, with a call for tailored financing solutions. The State Bank of Pakistan’s Additional Director Najam-us-Saqib highlighted new clean lending opportunities of up to Rs50 million under revised Prudential Regulations, aiming to facilitate borrower access to financing.
The meetings concluded with a unified commitment from entrepreneurs, trade bodies, banks, development finance institutions, and provincial governments to enhance SME financing facilities and contribute to national economic growth. These efforts follow direct instructions from SAPM Haroon Akhtar Khan for coordinated national initiatives to improve SME credit access, particularly in underserved regions.