Prime Minister's Youth Business Loan - Introduction

Prime Minister’s ‘Youth Business Loan’, for young entrepreneurs between the age group of 21 - 45 years, is designed to provide subsidised financing at 8.0% mark-up per annum for one hundred thousand (100,000) beneficiaries, through designated financial institutions, initially through National Bank of Pakistan (NBP) and First Women Bank Ltd. (FWBL).

Small business loan with tenure up to 8 years, with first year grace period, and a debt : equity of 90 : 10 will be disbursed to SME beneficiaries across Pakistan, covering; Punjab, Sindh, Khyber Pakhtunkhwa, Balochistan, Gilgit Baltistan, Azad Jammu & Kashmir and Federally Administered Tribal Areas (FATA). It has a 50% quota for women and 5% quota for families of Shaheeds, Widows and Disabled persons.

SMEDA has been tasked with an advisory role in the implementation of PM’s scheme by providing more than fifty five updated pre-feasibilities for referencing by Loan beneficiaries and participating banks to optimally utilize their financial resources. SMEDA shall continue to add additional prefeasibilities. However, it is not necessary to develop a project on these prefeasibilities. Any other projects will also be entertained by the banks.

Why does the applicant need a Business Plan?


1.  Read the first page of Business Plan Template; explaining the importance of a business plan for any business.

2.  First step for fine tuning your ideas for practical implementation into a functioning business.

3.  Acts as a ‘How to’ guide for running your business.

4.  Helps you map options for best and worst case scenarios.                                                                                  More...

These financial calculators are meant only for general guidance for the users to get a fair understanding and estimation. Any of these calculators should not be used or annexed with the loan application to be submitted to the concerned bank. Although, due care has been made to structure these calculators for the benefit of prospective users; however, the practical results of a particular calculation may substantially vary in a particular case. The information has been provided on as is where is basis without any warranties or assertions as to the correctness or soundness thereof. SMEDA, its employees or agents do not assume any liability for any financial or other loss resulting from using these calculators. The prospective user of this calculator is encouraged to take professional advice from a qualified financial consultant before taking any decision to act upon the information.


1. Any person including blood relatives / family member having networth of 1.5 times the loan, can give the guarantee.

2.  Any grade-15 or above Govt. officer with 8 or more years remaining services can be a guarantor.

3.  More than one person with commulative networth of more than 1.5 times the loan can give guarantees on single loan application.

4.  Anyone with networth more than 1.5 times the loan can give his own guarantee.

5.  Applicants bank account can be in any bank, NBP or otherwise.

PM's Youth Business Loan Prefeasibilities 

 Engineering and Manufacturing (12)  Information Technology (5)
 Agriculture (7)  Agriculture and Fruit Processing (11)
Dairy & Livestock (15)  Food (5)
 Services (23)  Minerals (7)

SMEDA's Prefeasibilities other than PMYBL  Click Here

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