ISLAMABAD-Adviser to Prime Minister on Finance and Revenue Abdul Hafeez Sheikh has announced to slash the interest rate by 50 percent on loans under Kamyab Jawan programme and also increased the loan limit from Rs5 million to Rs25 million.

He said that government is providing loans under Kamyab Jawan programme. In a press conference along with Special Assistant to Prime Minister on Youth Affairs Usman Dar, the adviser said that government has decided to reduce the interest from 8 and 6 percent to 4 and 3 percent respectively. He said that government had disbursed Rs1 billion to 2900 people so far. He said that government has approved to provide loans to another 7500 people. In this regard, the number of banks has also been increased from three to 21.

“The government is ensuring all possible funds for the programme. The common man is at the core of the Prime Minister’s policies,” he said and added that government will provide as much money as needed for the Kamyab Jawan program, even the amount exceeds to Rs100 billion. The program would facilitate the small and medium enterprises.

Finance Adviser Abdul Hafeez Sheikh said that international organizations including Bloomberg are acknowledging the economic recovery of Pakistan while Moody’s had confirmed Pakistan’s B3 credit rating with a stable outlook which is major success for the government’s economic team. He said that economic situation has improved in the first month (July) of the current fiscal year. Sharing details, he said, exports have shown growth of 6 percent and recorded at $2 billion in July this year. Tax collection has increased by 23 percent to Rs300 billion in last month. Meanwhile, use of cement, petrol and diesel has also increased, which showed economic activities are picking up.

Hafeez Shaikh informed that government has reduced its expenditures and followed austerity. He said that government had not approved supplementary grant in last fiscal year. He said that government had provided a relief package of Rs1200 billion amid Covid-19. The government had provided cash assistance to thousands of people under Ehsaas Programme. The government is providing subsidy to 72 percent of the power consumers, 90 percent of gas consumers and 100 percent subsidy on tubewells. He informed that government is providing subsidy on five essential food commodities at Utility Stores Corporation. 

Special Assistant Usman Dar thanked Abdul Hafeez Sheikh for reducing interest rate and announcing to increase the limit of loan for Kamyab Youth programme. He said, from August 13, the application will be available on the website of the Kamyab Jawan program. He said that the goal of Kamyab Jawan is to create jobs in Pakistan and this program will provide employment to one million youth. In the 72 years history of Pakistan, no Prime Minister or government has ever thought about the youth. He also thanked Prime Minister Imran Khan for the Kamyab Jawan Programme.

He said that 95 percent of the people had not mentioned about their business plan in application in the first phase. He asked the youth to mention their business plan and skills in new applications seeking for loans. He assured that government would not provide loan on political basis, as people should only have skills and experience of businesses.