SMEs, agriculture: Govt doubles financing targets: Aurangzeb

ISLAMABAD - Finance Minister Senator Muhammad Aurangzeb announced ambitious targets to double financing for small and medium enterprises (SMEs) and agriculture to Rs2 trillion each by June 2028 during the fourth meeting of the Access to Finance Steering Committee on Wednesday. The housing finance under the Prime Minister’s affordable housing program surged to Rs351.3 billion.

The minister stressed the importance of transitioning from approvals to actual disbursements and the need for financing frameworks to translate into credit, investment, and economic activity. The committee reviewed progress on various initiatives, including SME finance standing at Rs1.067 trillion by the end of August 2026, reaching 9.90 percent of domestic private advances.

The goal is to expand SME financing to Rs2 trillion by June 2028, with 775,000 borrowers. Agriculture finance reached Rs1.268 trillion, covering 10.90 percent of domestic private advances. The housing finance under the Wazir-e-Azam Apna Ghar Programme increased by 12 percent in less than a week, with Rs351.3 billion approved and 60,349 loans disbursed.

The meeting also discussed the progress of the Pakistan Accelerated Vehicle Electrification (PAVE) Programme and initiatives from SMEDA, such as financial literacy programs, SME financing help desks, and over-the-counter documents and tools.