EU €20mn programme: UNIDO, SEDF award grants to 17 SMEs in Sindh

The United Nations Industrial Development Organization (UNIDO), in collaboration with the Sindh Enterprise Development Fund (SEDF), has granted €2.03 million to 17 small and medium-sized enterprises (SMEs) under its third round of co-financing program. The program, named Poverty Alleviation and Inclusive Development Across Rural Sindh (PAIDAR), aims to reduce poverty by boosting sustainable economic activities, supporting local enterprises, and generating employment opportunities in rural Sindh.

UNIDO's Office In Charge, Badar ul Islam, disclosed that over €20 million has been allocated for this enterprise development program, which is funded jointly by the European Union (EU) and UNIDO. The EU's contribution accounts for €20 million, with the remaining €10 million going towards private enterprise development. So far, approximately €11 million has been distributed to 51 SMEs and 250 micro-enterprises since 2023.

Each SME grant is limited to €200,000, while micro-enterprises receive up to €10,000. This co-financing model encourages businesses to contribute equally or more towards their projects, fostering seriousness and sustainability. Syed Qassim Naveed Qamar, a special assistant to the Chief Minister Sindh on Investment & Public-Private Partnership Projects, emphasized the critical role of SMEs and micro-enterprises in rural economies.

He stressed that the fund's establishment aims to bolster Sindh's economy through provincial resources and investment in promising sectors such as fisheries, information technology, research and development, waste recycling, and bio-waste utilization. The SEDF has invited new applications until September 15, 2026, with the fourth round of co-financing targeting 20 SMEs, with potential grants ranging from Rs700 million to Rs1 billion.