Punjab Chief Minister Usman Buzdar will launch the Punjab Rozgar Scheme 2020 today under which loans up to Rs.10 million will be given to increase employment in the province.
Individuals between the age of 20 to 50 can apply for the loans by signing up through their CNICs on https://rozgar.psic.punjab.gov.pk/
The application fee of the program is Rs2000 (non-refundable) and must be submitted once the application has been submitted.
The Biggest in the history of Punjab – Punjab Rozgar Scheme
▪︎ More than 30 Billion rupees easy loans
▪︎More than 1.6 Million Jobs#ReformingPunjab pic.twitter.com/YiZwN227gj— Reforming Punjab (@ReformingPunjab) September 30, 2020
Punjab Rozgar Scheme will provide total loans of Rs30 billion to provide subsidized credit facilities to the micro, small, and medium (MSMEs) startups and existing businesses in collaboration with commercial Banks. The loans will range from Rs100,000 to 10 million.
Link To Apply Punjab Rozgar Scheme 2020
Who can apply?
-
- University/college graduates with entrepreneurial skill
- Diploma/certificate holder from TVET having technical/vocational training.
- Artisans and skilled workers
- Existing businesses (However, preference will be given to existing businesses in wake of the current COVID-19 pandemic)
- Micro and other enterprises that apply for a loan to adopt resource-efficient and cleaner production technologies or any green/environment-friendly intervention to improve the environmental performance of their operations.
Eligibility Criteria
- Male / Female / Transgender
- Citizen of Pakistan, Resident in Punjab, verified through CNIC
- Business Location: Punjab
- Sole Proprietor, Partnership, or any business fulfilling other eligibility criteria
- Must have a clean e-CIB / Credit History
- For startups / new businesses (Having a viable business plan)
- For existing businesses (Having a viable business plan with a focus to sustain the impact of COVID-19)
- Having valid CNIC
- Any other parameter to be set by Punjab Small Industries Corporation (PSIC) / Government
Terms & Conditions
| Feature | Description |
| Loan Limit |
|
| Purpose of loan |
|
| MSME Sector |
|
| Processing fee | Rs. 2000/- (non-refundable) at the time of submission of application |
| Tenure of loan/Repayment Period | From 02 to 05 years including a grace period |
| Grace period | Up to Six (06) Months (However, the markup will be charged during the grace period) |
| Type of loan | Term loan as per bank policy and working capital |
| Cost of Capital | Cost of Capital to be paid by Borrower:
|
| Debt: Equity | 80:20 (For males)
90:10 (Women, Transgender and Differently abled) (Meaning thereby 20% / 10% of the project cost will be invested by the borrower) |
| Disbursement of loans | In installment(s) as per the approved business plan |
| Security of loan | 1. Security for Clean Lending
Personal Guarantee of the borrower along with the net worth statement.
Personal Guarantee of the borrower along with at least one, Third Party guarantor with overall net worth collectively equal to the size of the loan applied. (Third Party should be a citizen of Pakistan and resident of Punjab having a valid CNIC and must not be older than 55 years. Moreover, e-CIB of the third party should be clean i.e. it should not have any overdue or write off history) Or Guarantee of Government employee of BS-10 and above along with a personal guarantee of the borrower. (Departmental guarantee of the government employee will be mandatory) Net Worth / Wealth Description and Calculation Criteria:Net Worth may be in the form of Tangible Asset i.e Property or Vehicle ownership and may be assessed as follows: A. Property may be valued at the respective DC rate. Or B. Property valuation may be established from the Wealth Tax statement. Or C. Evaluation by Pakistan Banks Association (PBA) approved evaluator/agent Or D. Vehicle valuation shall be invoice price less depreciation (10% for each passing year). 2. Security for loan limit from Rs. 1,000,001/- to 10,000,000/- Mortgage of AssetsAsset descriptionA. Residential / Commercial / Industrial / Agricultural Property/vehicle has a clean title and clear access (acceptable to the bank) and is valued by banks approved appraiser as per the bank’s policy. B. The property should be in the name of the borrower or blood relative of individual/proprietor/partners. C. Documentation shall be as per bank credit policy / legal division. Charge / hypothecation on fixed / current assets as per internal / external regulations. |