Prime Minister’s Youth Business & Agriculture Loan Scheme 2025

The Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB&ALS) is a key initiative of the Government of Pakistan aimed at empowering youth, farmers, and small entrepreneurs by providing them with affordable financing opportunities. The scheme supports young individuals in establishing or expanding businesses, particularly in the agriculture and small-to-medium enterprise (SME) sectors, which are considered the backbone of Pakistan’s economy.

By offering interest-free and subsidized loans with flexible repayment options, this program opens doors for Pakistan’s energetic youth to create sustainable livelihoods, promote innovation, and contribute to national development.

Objectives of the Scheme

1. Promote Entrepreneurship: Enable young people to launch or expand their own businesses.

2. Boost Agriculture: Provide farmers with financing to adopt modern farming techniques, purchase equipment, and improve crop productivity.

3. Generate Employment: Encourage job creation through new startups and SME growth.

4. Empower Women & Marginalized Groups: Ensure inclusive economic growth by reserving quotas for women and minorities.

5. Support Digital & Green Economy: Encourage IT, e-commerce, and environmentally friendly projects.

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Key Features of PMYB&ALS

1. Loan Categories (Tier System):

   1. Tier 1 (T1): Up to PKR 0.5 million – Interest-free loans

   2. Tier 2 (T2): PKR 0.5 million – 1.5 million – 5% markup per annum

   3. Tier 3 (T3): PKR 1.5 million – 7.5 million – 7% markup per annum

2. Repayment Period: Up to 8 years, with a grace period of 1 year.

3. Eligible Sectors:

   1. Agriculture & Livestock (seeds, machinery, dairy farming, poultry, fisheries)

   2. Manufacturing & Industry (small-scale factories, production units)

   3. Services & Trade (transport, retail, e-commerce, IT startups)

   4. Innovative Startups (technology, renewable energy, agri-tech)

4. Quota for Women: Minimum 25% of loans are reserved for women applicants.

5. Age Limit: Applicants must be 21–45 years old. For IT/e-commerce businesses, the minimum age is 18 years.

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Eligibility Criteria

Applicants must:

1. Be Pakistani citizens with a valid CNIC.

2. Fall within the specified age bracket.

3. Possess a viable business idea or an existing small business.

4. Have relevant experience, education, or training (preferred but not mandatory).

5. Not be defaulters of any bank or financial institution.

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How to Apply for the PMYB&ALS

1. Online Application: Visit the official portal https://pmyp.gov.pk/

2. Registration: Create an account using CNIC and mobile number.

3. Fill the Form: Provide business details, loan category (T1, T2, or T3), and financial requirements.

4. Attach Documents: CNIC, educational/skill certificates, business plan, bank account details.

5. Submission: Apply online and track application status through the portal.

6. Processing & Approval: Participating banks (NBP, BOP, HBL, UBL, Meezan, etc.) evaluate applications.

7. Disbursement: Loan amount is transferred to the applicant’s bank account once approved.

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Participating Banks

1. National Bank of Pakistan (NBP)

2. Bank of Punjab (BOP)

3. Habib Bank Limited (HBL)

4. Meezan Bank

5. United Bank Limited (UBL)

6. Allied Bank Limited (ABL)

7. And other Islamic & conventional banks

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Benefits of the Scheme

1. Interest-free financing for small businesses (T1).

2. Low markup loans for medium & large-scale projects.

3. Special support for agriculture, including machinery, seeds, and modern farming tools.

4. Inclusive participation through women and minority quotas.

5. Digital application process, ensuring transparency and accessibility.

6. Encouragement of SMEs, which play a vital role in GDP growth.