ISLAMABAD – The federal cabinet is likely to approve Rs200 billion worthPrime Minister’s Kamyab Jawan Program (PMKJ) in its Tuesday’s meeting toenable unemployed youth to avail affordable financing for starting up newbusiness or strengthening their existing business, it was learnt reliably.
Finance division has prepared a summary which will be presented in federalcabinet’s meeting to be held under the chairmanship of Prime Minister ImranKhan.
The cabinet may grant its nod to the premier’s vision for employment ofyouth, said sources.
Under this programme, three tiers of subsidized loans will be disbursed.Tier 1 will be up to Rs0.5 million, tier 2 will range from Rs0.5 million toRs10 million and tier 3 from Rs10 million to Rs25 million.
With regard to security requirements, tier one loan is proposed as cleanlending with only personal guarantee of the borrower himself while for tiertwo and tier three loans, banks may follow their own credit policy.
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According to the documents, the programme will enable unemployed youth inthe age bracket of 21-45 years to avail affordable financing for startingup new business or strengthening their existing business.
“This program will provide self-employment opportunities to estimated138,000 young borrowers with cumulative financing of approximately Rs200billion in five years, thereby creating around one million employmentopportunities in Pakistan,” said the document.
