Punjab partners with Akhuwat Islamic Microfinance to provide interest-free loans of up to Rs200,000, helping eligible former prisoners establish businesses and successfully reintegrate into society.
The Punjab government has launched the “Naya Aaghaz” (New Beginning) Programme, a major prison rehabilitation initiative that will provide eligible former prisoners with interest-free loans to help them establish small businesses and achieve financial independence after their release.
Introduced under Chief Minister Maryam Nawaz’s prison reform agenda, the programme is being implemented through a partnership between the Punjab Home Department and Akhuwat Islamic Microfinance. The initiative is designed to support rehabilitation by enabling former inmates to use vocational skills acquired during incarceration to earn a sustainable livelihood.
Under the scheme, eligible released prisoners can receive interest-free loans of up to Rs200,000 to either start a new business or expand an existing one. The loans will be repaid in equal monthly installments over 36 months, while recovered funds will be reinvested to assist future beneficiaries.
To launch the programme, Akhuwat Islamic Microfinance has established an initial revolving fund of Rs5 million. The organization will also bear all administrative and operational expenses, ensuring that the Punjab Home Department and the Punjab Prisons Department incur no financial costs.
The Punjab Prisons Department will identify inmates expected to be released within the next three months. Eligibility will be determined based on prisoners’ conduct and successful completion of vocational training, while Akhuwat will independently verify all loan applications in line with its lending policies.
Punjab prisons currently offer certified vocational education in 23 different trades, with more than 28,000 inmates already receiving certificates through TEVTA and PVTC training centres. Around 6,500 prisoners are currently enrolled in skills development programmes, while 74 psychologists are working across Punjab prisons to support rehabilitation through counseling and positive engagement.
The agreement was signed by senior officials from the Punjab government and Akhuwat, including DIG Prisons Ahmed Naveed Gondal, Akhuwat CEO Dr Kamran Shams, Punjab Home Secretary Dr Ahmed Javed Qazi, Akhuwat Foundation Chairman Dr Amjad Saqib, and Inspector General Prisons Mian Salik Jalal.
Speaking at the signing ceremony, officials described prison reform as a key government priority, emphasizing that the programme will help former prisoners become financially self-sufficient and reduce the likelihood of reoffending. They said education, vocational training, and economic empowerment are central to transforming prisons into true rehabilitation centers.
Dr Amjad Saqib highlighted that the initiative follows the principle of Qarz-e-Hasna, offering dignified, interest-free financial support. He noted that Akhuwat has already disbursed more than Rs500 billion in interest-free loans to approximately 4.5 million families across Pakistan.
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