The Presidents/CEOs,

All Banks/DFIs

Small Enterprise (SE) Financing and Credit Guarantee Scheme for Special Persons

Dear Sir/Madam,

1. In line with the Government of Pakistan’s priority to improve socio-economic life of the special persons in the country and SBP’s measures for improving access to finance for this vulnerable segment of the economy, a “Small Enterprise (SE) Financing and Credit Guarantee Scheme for Special Persons” is being launched across the country.
2. Under the scheme, Banks and DFIs will be required to provide financing facilities to special persons to meet credit needs for setting up of new business enterprises or for expansion of existing ones and claim refinance from State Bank of Pakistan up to 100% of finance extended by them. Following are the key features of this scheme: -

• Participants: All Banks/DFIs
• Scope: Special persons holding CNIC with disability logo/symbol will be provided finance for setting up of new business enterprises or for expansion of existing ones
• Loan Amount: Up to Rs. 1.5 million
• Refinance: Up to 100% by SBP. SBP will provide refinance to Participating Financial Institutions at 0%
• End user rate: End user rate will be up to 5% per annum (p.a.)
• Loan Tenor: Up to 5 years with grace period of up to 6 months
• Guarantee/Risk Coverage: 60% of outstanding loan (principal portion only)

3. The Banks/DFIs are advised to apply for refinance limits under the scheme to the Director, Infrastructure, Housing & SME Finance Department, SBP, Karachi latest by April 30, 2019.