The government has directed commercial banks and other financial institutions to simplify lending procedures and improve access to financing for small businesses across Pakistan.
Finance Minister Muhammad Aurangzeb chaired a meeting to review lending to Small and Medium Enterprises (SMEs) and discuss measures to help more businesses secure bank loans. Officials noted that although SME financing had increased, bringing more small businesses into the formal banking system remained a key priority.
Aurangzeb urged commercial banks, microfinance banks and non-bank financial institutions to expand lending, particularly to export-oriented businesses. The meeting also reviewed the newly launched SME Connect portal, which allows small businesses to apply for loans directly and connect with banks. The finance minister welcomed the initial response, noting that thousands of applicants had shown interest since its launch earlier this week.
He directed officials to improve the portal and simplify its procedures to make financing more accessible. The meeting also discussed better use of financing limits reserved for SMEs and stronger coordination between banks and the Small and Medium Enterprises Development Authority (SMEDA) to help businesses meet lending requirements.
Aurangzeb further called on relevant ministries to address regulatory hurdles affecting SME financing. The government aims to expand credit access, encourage investment, bring more businesses into the formal economy and support export growth.
