Prime Minister Shehbaz Sharif directs SMEDA to double financing for small and medium-sized enterprises to Rs2.2 trillion by 2028, expand local-language support and train 10,000 businesses through Alibaba.

Prime Minister Shehbaz Sharif has directed the government to increase the total value of loans for small and medium-sized enterprises (SMEs) from Rs1.1 trillion to Rs2.2 trillion by 2028 as part of efforts to strengthen Pakistan’s business sector and expand economic opportunities nationwide.

Chairing a meeting on the Small and Medium Enterprises Development Authority (SMEDA) in Islamabad on Monday, the prime minister said small and medium-sized businesses had significant potential to drive economic growth. He described the business community as the backbone of a country’s economy and emphasized empowering entrepreneurs through ongoing reforms at SMEDA.

According to a statement issued by the Prime Minister’s Office, Sharif also stressed the importance of creating business opportunities in underdeveloped areas. He said empowering people in these regions could help reduce migration to major cities and contribute to the country’s overall development.

The prime minister directed SMEDA to develop a comprehensive plan to inform more people about the procedures for obtaining business loans. He also called for effective measures to raise public awareness about entrepreneurship and encourage business activity across the country.

Feasibility studies and local-language guidance

Sharif instructed SMEDA to commission feasibility studies for establishing small and medium-sized businesses in different sectors, with experts from the relevant industries preparing the studies.

He directed that these studies also be made available in local languages so aspiring entrepreneurs across Pakistan could understand the requirements and opportunities associated with setting up businesses.

The measures are intended to improve access to practical business information and help prospective entrepreneurs make informed decisions when starting or expanding their enterprises.

SMEDA reforms and AI-based helpline

During the meeting, officials briefed the prime minister on ongoing reforms at SMEDA and initiatives aimed at promoting SMEs.

According to the briefing, SMEDA is being transformed into a central platform that will provide training to people seeking to establish businesses and facilitate their engagement with banks to obtain financial assistance.

SMEDA offices are also being established across the country to improve outreach to people involved in the SME sector.

Officials further informed the meeting that an artificial intelligence-based helpline was being developed to provide information and guidance in local languages, making business-related assistance more accessible to citizens.

Alibaba partnership to train 10,000 businesses

The briefing also covered a memorandum of understanding signed between global e-commerce company Alibaba and SMEDA.

Under the agreement, 10,000 small and medium-sized enterprises will receive training over two years. The initiative is part of broader efforts to strengthen business capabilities and help SMEs develop their operations.

Officials said reforms were also underway to improve the SME Digital Portal and make it easier for entrepreneurs to use.

The meeting was attended by Federal Ministers Rana Tanveer Hussain, Jam Kamal Khan, Dr Musadik Masood Malik, Ahsan Khan Cheema, Attaullah Tarar and Chaudhry Salik Hussain; Minister of State for Finance Bilal Azhar Kiani; Prime Minister’s Adviser Haroon Akhtar; Chairman of the Prime Minister’s Youth Programme Rana Mashhood Ahmad Khan; and senior officials from relevant institutions.

The directives outlined at the meeting place increased SME financing, entrepreneurship support, access to business information and regional economic development at the center of the government’s reform agenda.