PMYP Loan Scheme 2024 by Prime Minister Shahbaz Sharif, Online Application Form, Terms & Conditions in Detail
Do you want to kickstart your business in 2024? Well, the answer to that can very well be possible with the Prime Minister Loan Scheme 2024. The PM Shahbaz Sharif loan scheme is exclusively designed to help the citizens of Pakistan to fulfill their entrepreneurial potential 7 it certainly is a step in the right direction. This loan will help make your business dreams come true and with it, you can start or expand your business with ease.
Prime Minister Loan Scheme 2024, Apply Online For PMYBL
In this post we shall discuss various key points of PMYBL including eligibility criteria, interest rate, required equity, online form, tiers, tenor, loan types and security requirements in detail. Lets start reading together;
Eligibility Criteria of Prime Minister Loan Scheme 2024
The eligibility criteria for Prime Minister Loan Scheme 2024 comes with a range of conditions, making it easier & more accessible for citizens of Pakistan to get the financial aid they need to begin their businesses. The most noteworthy of these conditions include:
• All citizens of Pakistan holding CNIC issued by Nadra, aged between 21 & 45 years are eligible for the PM loan scheme 2024.
• For IT/E-commerce related businesses, the lower age limit has been reduced to a minimum of 18 years with at least matric or equivalent education being a stipulated requirement.
• Above age limit condition is applicable to both individuals & sole proprietors.
• In case of all other forms of business including partnerships & companies, at least one of the owners, partners or directors must be above the age of 21 but under the age of 45.
• Start-up & existing small and medium enterprises are also eligible for this PM loan scheme 2024, provided they meet the eligibility criteria.
• For Agriculturists & Farmers convenience, the SBP’s “Indicative Credit Limits & Eligible Items for Agriculture Financing 2020” will be applicable in this case.
The eligibility criteria for Prime Minister Loan Scheme 2024 also ensures that the citizens of Pakistan are not only given an easily accessible support system in terms of financial aid, but are also provided with opportunities to hone their skills & abilities and pursue a successful career. Not only do the youth get a chance to turn their dreams into reality, but the Pakistan economy is surely headed for brighter days!
The Prime Minister Loan Scheme 2024 is undoubtedly a great initiative for the citizens of Pakistan & anyone meeting the above mentioned eligibility criteria can benefit from it. A lot of hard work & dedication will go into making their business idea a success and the PM loan scheme helps in removing some of the financial burden from the shoulders of budding entrepreneurs.
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Tiers of Prime Minister Loan Scheme 2024
The Prime Minister Loan Scheme 2024 is presented as the perfect solution for aspiring future entrepreneurs who are hoping to make their business dreams a reality. This scheme offers several tiers of loans & allows potential borrowers to easily customize their loan packages to suit the ambitions of their business.
The scheme includes three tiers, T1, T2 & T3 or Tier1, Tier2 & Tier3, with loan amounts ranging between 0.5 million & 7.5 million PKR. In this article of arqumhouse.edu.pk, we shall take a closer look at each tier & explore the benefits of each so that loan seekers can make the most informed decision on their loan package.
The 1st tier, T1, offers a loan of up to 0.5 million PKR/500000 rupees. This offers government-backed funding for start-up expenses for example purchase of land, building construction, crop production or purchase of equipment. This tier is ideal for entrepreneurs who are looking for a small, yet secure, interest free loan to fund the beginnings of their business without any kind of bank guranttee.
The 2nd tier, T2, provides a loan between 0.5 & 1.5 million PKR. This is considered a mid-range loan & is perfect for entrepreneurs to further grow their business & achieve their desired goals. This tier of the Prime Minister Loan Scheme 2024 allows borrowers to cover all the costs associated with starting a business e.g purchasing raw materials, hiring staff or offline and online marketing.
The 3rd tier, T3, offers the highest loan amount of 1.5 Million to 7.5 Million PKR. This loan tier is perfect for those who are aiming to reach a higher level of success with their business. With this loan, entrepreneurs are able to access resources necessary to help their business expand like buying land, building multiple locations, investing in technology or even franchising.
The Prime Minister Youth Loan Scheme 2024 truly provides businessmen of all levels with the opportunity to take their business to the next level. In each tier you may get the loan as per your individual needs. For example in tier 1 you may get even 1 lakh interest free loan and in tier two you can get loan of even 6 lakhs. It means that loan amounts are customize able as per your business needs. This enables aspiring youngsters to become ambitious & innovative, leaving no option to simply give up on their business dreams.
Whether you are looking for a loan of 500000 rupees or 7500000 rupees, the tiers of Prime Minister Youth Loan Scheme 2024 has you covered. With this Govt backed loan scheme, any man or woman is sure to find the resources to take their business dreams to the next level.
Prime Minister Youth Loan Scheme 2024 Loan Tenor
The Tenor of Prime Minister Youth Loan Scheme 2024 are:
T1 loans – up to 3 years loan tenor
T2 loans – up to 8 years loan tenor, with a grace period of 1 year
T3 loans – up to 8 years loan tenor, with a grace period of 1 year
For crop loans, the tenor will be up to 1 year.
When taking out Prime Minister Youth Loan Scheme 2024, you will notice that the loans are to be paid in very easy & equal monthly installments. Moreover each customer is entitled to 2 loans at most. The processing time for the loan is 45 days, with a nominal application processing fee of Rs. 100 & a fee for the verification of your CNIC from Nadra.
No security deposit is required for T1 & T2 loans, as these are disbursed on the personal guarantee of the borrower. For T3 loans, the security deposit will be as per the bank’s policy.
We suggest you visit PM Youth Program (PMYP) Portal https://pmyp.gov.pk or https://www.sbp.org.pk/smefd/circulars/2022/C12.htm to learn more about the Tiers of Prime Minister Loan Scheme 2024.
PM Loan Scheme 2024 Debt: Equity Ratio
The Prime Minister Loan Scheme 2024 provides loan for both new & existing businesses. For new businesses, the debt-equity ratio for Tier 1 & Tier 2 is set at 90:10, while for Tier 3 it is set at 80:20. The borrowers must provide the contribution of equity in the form of cash or immovable property after the loan has been officially approved. On the other hand, there is no debt-equity ratio required for existing businesses.
Prime Minister Shahbaz Sharif Loan Scheme 2024 Markup Rates
The Tiers of Prime Minister Loan Scheme 2024 also has different markup rates depending on the tier. Tier 1 has no markup rate at all, while Tier 2 and Tier 3 has 5% & 7% interest rate respectively. This makes it more attractive for entrepreneurs as they will be able to get the loan at low-interest rate & with more flexible payment terms.
Apart from these, the loan also covers several other expenses such as project costs, marketing and promotion costs & preoperative expenses. The loan will also cover up to 90% of the total project cost. And the best part is that the loan is easy to apply for & the process is quick and easy.
Under the Prime Minister Youth Loan Scheme 2024, 25% of the loans are reserved for women applicants. Applicants who qualify can benefit from a maximum financing limit of Rs. 7.5 million. Depending on their individual requirements & eligibility, they can receive two loans i.e a long term & a short term loan – within this amount. Similarly, farmers may also get one production & one development loan each.
The processing time for this loan will not exceed 45 days. The cost of processing the loan is Rs. 100/- & includes the NADRA online CNIC verification fee.
The main goal of this scheme is to bring about financial inclusion for people in every remote corner of Pakistan who would not have otherwise have easy access to such financing. This would ultimately help propel the people of Pakistan in the areas of small businesses, employment & income generation.
Prime Minister Loan Scheme introduces a generous loan provision that would help young entrepreneurs and startup businesses to thrive. This loan type offers term loans for working capital, as well as leases and financing for machinery & locally manufactured vehicles.
Prime Minister Youth Loan Scheme 2024 Security Requirements
To meet the security requirements warranted for the loan & other associated products, borrowers are required to provide the following security arrangements:
Level 1: Clean Loan (Secured only by personal guarantee of the borrower)
Level 2: Clean Loan (Secured only by personal guarantee of the borrower)
Level 3: As per banks’ policy
For vehicles financed under Level 1, Level 2 & Level 3, the loan will act as a form of collateral.
PMYBL Loan Type
Prime Minister Loan Scheme 2024 offers a great opportunity for young entrepreneurs and start-up businesses. With up to 65% of the total loan available for civil works, entrepreneurs are sure to gain a competitive edge over their peers and start-up businesses. Furthermore, borrowers in lone food franchises & distribution businesses will be able to avail financing for more than one vehicle, helping to further secure their business deal.
Click Here To Apply Online For Prime Minister Loan Scheme 2024
Conclusion
So, if you are looking to set up or secure your venture, the Prime Minister Youth Loan Scheme 2024 is something you should definitely look into. With hassle-free application process & secure guidelines, you would be able to gain the confidence & financial assistance you need. Go ahead & apply now for the Prime Minister Loan Scheme 2024
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