In January 2025, Punjab Chief Minister Maryam Nawaz launched the Asaan Karobar Finance Scheme to support entrepreneurs, startups and small businesses across Punjab.
The scheme has two main parts:
- Finance Loans (Tier-1 and Tier-2) – interest-free loans up to PKR 30 million for SMEs.
- Karobar Card – a digital loan card offering interest-free loans up to PKR 1 million.
This initiative is considered the largest business finance program in Punjab, targeting job creation, economic revival and inclusive growth.
Objectives
| Goal | Details |
|---|---|
| Boost Entrepreneurship | Provide capital to startups and SMEs lacking collateral or credit history |
| Job Creation | Support businesses that generate employment |
| Inclusive Access | Prioritize women, youth, rural, disabled and marginalized entrepreneurs |
| Economic Growth | Strengthen Punjab’s business ecosystem with fair financing |
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Benefits and Features
| Feature | Finance Loans (Tier-1 & Tier-2) | Karobar Card |
|---|---|---|
| Loan Size | Up to PKR 30 million | Up to PKR 1 million |
| Interest | 0% (government subsidized) | 0% (government subsidized) |
| Tenure | Up to 5 years with grace period (6 months for new businesses, 3 months for existing) | 3 years |
| Collateral | Tier-1: Only personal guarantee | Not required |
| Collateral (Tier-2) | Property or other security | Not applicable |
| Usage | Working capital, expansion, machinery, utilities | Vendor payments, taxes, utilities, partial cash withdrawal (25%) |
| Target Groups | All entrepreneurs with focus on women, youth, rural and disabled | Micro startups and very small businesses |
Eligibility Criteria
| Criteria | Requirement |
|---|---|
| Residency | Must be a Punjab resident with valid CNIC |
| Age Limit | 25 – 55 years |
| Business Type | Startup with feasible plan or existing registered business |
| Tax Status | Active taxpayer (NTN) |
| Credit History | No previous loan defaults |
| Special Priority | Women, youth, differently abled, rural applicants |
Required Documents
| Document | Purpose |
|---|---|
| CNIC copy + passport photo | Identity verification |
| Business Plan / Proposal | For new startups or expansion projects |
| Financial Statements | For existing businesses |
| Rent Agreement or Property Title | Proof of business premises and residence |
| Collateral Documents (Tier-2) | Property deed, valuation, ownership proof |
| References | Two CNICs and mobile numbers (non-relatives) |
| Tax Certificate (NTN) | Proof of filer status |
Processing Fee
- PKR 5,000 for Tier-1
- PKR 10,000 for Tier-2
(paid into PSIC designated account, non-refundable)
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Application Process
| Step | Action |
|---|---|
| 1 | Choose stream: Finance Loan or Karobar Card |
| 2 | Visit portal: akf.punjab.gov.pk (Finance) or akc.punjab.gov.pk (Card) |
| 3 | Register and complete online form (upload documents) |
| 4 | Pay processing fee via PSIC account |
| 5 | Track status on portal after submission |
| 6 | Loan amount is disbursed to bank account if approved |
Support: Toll-free helpline 1786 and PSIC service centers are available for assistance.
Deadlines and Phases
| Phase | Timeline | Details |
|---|---|---|
| Phase I | January 2025 | Scheme launched and applications open |
| Phase II | Later in 2025 | Additional PKR 90 billion allocated, targeting 5,500 businesses |
Partners and Stakeholders
| Stakeholder | Role |
|---|---|
| Punjab Government | Oversight and subsidy support |
| Punjab Small Industries Corporation (PSIC) | Program management and disbursement |
| Banks (BOP, NBP, HBL, UBL, MCB, others) | Loan processing and distribution |
| Punjab IT Board (PITB) | Digital infrastructure for portals |
Loan Terms and Conditions
| Condition | Details |
|---|---|
| Interest Rate | 0% for end-users |
| Security | Tier-1: Personal guarantee / Tier-2: Property collateral |
| Equity | Tier-2: 20% equity (reduced to 0 – 10% for women, transgender, disabled) |
| Repayment | Equal monthly instalments up to 5 years |
| Grace Period | 6 months for startups, 3 months for existing businesses |
| Misuse of Funds | Loans must be used only for approved purposes |
Note: Please note that the listings provided on this website are sourced from various newspapers and online platforms. We do not guarantee the accuracy, authenticity, or validity of the information provided in these listings. Users are advised to verify the details of the listings independently before applying. Our organization is not responsible for any discrepancies or inaccuracies in the job listings.
Official source for more details: https://akf.punjab.gov.pk
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