PM sets Rs2.2tr SME financing target by 2028

Prime Minister Shehbaz Sharif has set a target of doubling financing for small and medium-sized enterprises (SMEs) in Pakistan by 2028, from Rs1.1 trillion to Rs2.2 trillion. Speaking at a meeting on the Small and Medium Enterprises Development Authority (Smeda), the prime minister highlighted SMEs as the backbone of the country's economy and their potential to drive growth and create opportunities.

The government is implementing reforms to empower entrepreneurs, particularly in underdeveloped areas, to reduce migration to major cities and promote balanced national development. Smeda will develop a comprehensive plan to educate people about loan procedures and take measures to raise entrepreneurship awareness. The authority will also conduct feasibility studies for setting up SMEs in various sectors, available in local languages.

Ongoing reforms include transforming Smeda into a central platform for training entrepreneurs, establishing offices nationwide, and developing an AI-based helpline in local languages. A memorandum of understanding has been signed with global e-commerce company Alibaba, which will provide training to 10,000 SMEs over two years. The meeting also discussed the development of the Daanish IT Park Islamabad into a world-class technology hub, collaborating with academia and industry.

The government aims to equip Pakistani youth with IT, AI, and fintech skills, creating opportunities for IT entrepreneurs. A comprehensive ecosystem to boost IT exports and promote investment is being created, with plans to upgrade 50 private buildings into software technology parks and establish 8 incubation centers nationwide.