KARACHI: The State Bank of Pakistan (SBP) aims to double small and medium-sized enterprises (SMEs) financing over the next five years in an effort to drive economic growth, foster innovation, and create jobs in the country, a statement said on Thursday.
The SMEs are the lifeline of the country’s economy, providing employment to 80 percent of the non-agricultural workforce, contributing 40 percent to GDP and accounting for more than 25 percent of total export earnings, said SBP’s Deputy Governor Saleemullah at a seminar titled “MSME Finance: Catalyst for Inclusive Growth.” He informed the audience that SBP’s focus is on creating an enabling environment where SME finance can grow, enabling the SMEs to thrive and contribute to sustainable economic growth.
As part of its Vision 2028, the SBP aims to double SME financing to Rs1,100 billion over the next five years, with Rs100 billion to be added to the SMEs’ outstanding portfolio by the end of June 2025. The deputy governor called on all banks to play their part in promoting SME finance and surpass the Rs100 billion estimated increase for FY2024-25.