PM Shehbaz orders removal of 80% export condition for SMEs seeking long-term financing
Prime Minister Shehbaz Sharif on Thursday directed authorities to remove the requirement for small and medium enterprises (SMEs) to generate 80% of their revenue from exports to qualify for long-term financing, aiming to improve access to credit and support export growth. Chairing a high-level meeting on facilitating export-oriented SMEs, the prime minister also directed that no bank should be…
Prime Minister Shehbaz Sharif has ordered the removal of the 80% export revenue requirement for small and medium enterprises (SMEs) seeking long-term financing. This decision aims to improve SME access to credit and boost export growth. At a high-level meeting, Shehbaz directed that no bank should deviate from the concessional financing scheme for SMEs and exporters.
He emphasized that the government would provide all necessary support for SME capacity building, skill development, and business growth. The prime minister also advocated for better accreditation standards, expanded laboratories, and simplified regulatory procedures to streamline export processes. Participants were briefed on recent consultations with SME representatives, who raised concerns about taxation, refunds, provincial levies, accreditation, logistics, payments, and financing.
Pakistan has around 17,000 SMEs involved in exports, and the State Bank of Pakistan received over 10,000 loan applications following the November 1 launch of an online portal. The government allocated Rs300 billion under the Export Finance Scheme for SMEs and new exporters, and Rs350 billion for the Long-Term Financing Facility (LTFF) in the current fiscal year.
Officials from various ministries, including Deputy Prime Minister Ishaq Dar and Governor Jameel Ahmad of the State Bank of Pakistan, attended the meeting.
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