ISLAMABAD: Prime Minister Shehbaz Sharif convened a meeting on Wednesday to assess government efforts focused on the growth of small and medium enterprises (SMEs). Officials updated him on the progress made by the Small and Medium Enterprises Development Authority (SMEDA) in executing reform measures.
Sharif emphasized the vital role SMEs play in enhancing Pakistan’s economic growth and export potential. He commended SMEDA’s initiatives to broaden access to affordable loans, digital financing options, formal economic integration, and export market opportunities.
He instructed the relevant authorities to develop a time-bound action plan with clear, achievable goals. Additionally, he urged commercial banks to enhance their lending services specifically for SMEs. The prime minister also advocated for granting SME status to agriculture-related processing industries and highlighted the importance of improving financing and export access for women entrepreneurs.
Representatives from SMEDA, the Ministry of Industries, and the State Bank of Pakistan presented updates on measures being implemented across eight strategic sectors under a comprehensive SME development strategy. The meeting learned that SMEDA is advancing 48 initiatives designed to meet phased growth targets over the next two to four years. These include expanding market access through exhibitions and roadshows, reinforcing industrial value chains, and creating an SME database to facilitate formal sector inclusion.
State Bank Governor Jameel Ahmad reported that private sector lending reached Rs1.1 trillion in the previous fiscal year, with lending in the first three quarters of the current fiscal year already surpassing the target of Rs904 billion. Loans to SMEs have grown by 28 percent, leading to an upward revision of the SME financing target from Rs1.1 trillion to Rs1.5 trillion by fiscal year 2028.
Officials also noted the establishment of a dedicated export financing window for SMEs, which has attracted 41 new enterprises to the program. Sharif praised the efforts of Special Assistant Haroon Akhtar, the SMEDA team, and the Ministry of Industries, directing them to formulate a detailed roadmap to ensure the successful implementation of these reform initiatives.
