SAPM Haroon Akhtar urges unified push to expand SME financing nationwide

LAHORE (Dunya News) – Special Assistant to the Prime Minister on Industries and Production, Haroon Akhtar Khan, has called for a coordinated national effort to significantly enhance access to finance for small and medium enterprises (SMEs), particularly in underserved regions of the country.

Chairing a high-level meeting on SME financing, the SAPM emphasised the need for stronger collaboration among federal and provincial governments, financial institutions, and development stakeholders to improve credit availability and expand financial inclusion.

He directed the Small and Medium Enterprises Development Authority (SMEDA) to take the lead in building partnerships aimed at accelerating access to credit for SMEs across Balochistan, Khyber Pakhtunkhwa, and Azad Jammu and Kashmir.

“SMEDA must play a proactive role in engaging stakeholders and facilitating linkages that enable entrepreneurs to access financing and scale their businesses,” he said, adding that the authority should form a working group to synchronise efforts through training and connectivity initiatives.

The SAPM lauded the Punjab government’s initiatives under the Asaan Karobar Finance Scheme and urged other provinces to replicate the model to increase the number of beneficiaries nationwide. He also acknowledged the role of various banks that are extending financial support to SMEs through multiple mechanisms.

SMEDA Chief Executive Officer Nadia Jahangir Seth highlighted the organisation’s role in promoting access to finance, describing it as a key pillar of its business plan. She reaffirmed SMEDA’s commitment to strengthening the SME finance ecosystem.

“We will intensify collaboration with provincial governments, the Pakistan Banks Association, and other partners to facilitate SME access to credit for business growth,” she stated, noting that special emphasis would be placed on inclusive programmes and training initiatives for entrepreneurs in underserved areas.

Earlier, the Punjab Small Industries Corporation (PSIC) gave a detailed presentation on the chief minister’s Asaan Karobar Finance Scheme, under which a record Rs100 billion has been disbursed among entrepreneurs in less than one year.

Officials said the scheme, launched through the Bank of Punjab, has proven successful, benefiting more than 110,000 individuals, with nearly 50 per cent of borrowers belonging to low-income groups.

A representative of the State Bank of Pakistan provided an overview of the current financing landscape, noting progress in certain regions while highlighting persistent gaps in Khyber Pakhtunkhwa and Balochistan. He stressed the need for targeted interventions to expand financial inclusion in these areas.

He noted that Sindh Bank currently holds an SME financing portfolio of Rs10 billion, while no significant schemes exist in Khyber Pakhtunkhwa and Balochistan. He added that financial institutions in the Philippines and Bangladesh have commended Pakistan’s SME financing models and expressed interest in studying and replicating them.

A senior official from the Bank of Punjab, Asif Riaz, suggested that SMEDA should join an SME Forum to strengthen collaborative efforts among stakeholders. Representatives from provincial governments, Sindh Bank, Bank of Khyber, National Bank of Pakistan, HBL, and other institutions also attended the meeting.

The session concluded with a shared resolve to fast-track joint initiatives, enhance institutional coordination, and develop a more inclusive and accessible financing ecosystem for SMEs across Pakistan.