Prime Minister Shehbaz Sharif has directed authorities to increase lending to small and medium-sized enterprises (SMEs) to Rs2.2 trillion by 2028. The target would double the current volume of Rs1.1 trillion. He said SMEs have significant potential to support Pakistan’s economic growth and create jobs.
The prime minister issued the directive during a meeting on the Small and Medium Enterprises Development Authority (SMEDA). Officials briefed him on ongoing reforms and measures to improve financial support for entrepreneurs. Sharif said these reforms should help businesses establish, expand and operate in a supportive environment.
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He stressed the importance of developing businesses in underdeveloped areas. According to the prime minister, stronger local economic opportunities could reduce migration towards major cities. He added that helping residents establish businesses across different sectors could promote regional development and prosperity.
Sharif directed SMEDA to develop a comprehensive plan to inform more people about business loans. He also called for awareness campaigns promoting entrepreneurship, self-employment and available business opportunities. These initiatives aim to help aspiring entrepreneurs understand how to access financial support.
The prime minister also instructed SMEDA to arrange feasibility studies for businesses across different sectors. Experts should prepare these studies and make them available in local languages. This would help prospective entrepreneurs assess opportunities and make practical business decisions.
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Officials said SMEDA was being transformed into a central platform for business support. The platform will provide training and help entrepreneurs connect with banks for financing. Authorities are also establishing offices nationwide and developing an artificial intelligence-based helpline offering guidance in local languages.
The meeting was also informed about an agreement between Alibaba and SMEDA to train 10,000 SMEs over two years. The initiative aims to improve business capabilities and expand access to digital commerce. Officials also discussed reforms to make the SME digital portal easier to use for business registration, training and financial assistance.