Chief Minister Punjab Sardar Usman Buzdar will inaugurate Rs. 30 billion worth Punjab Rozgar Scheme 2021. Rozgar Scheme is the largest employment programme of Pakistan. The provincial government will formally launch its employment programme, Punjab Rozgar Scheme, with the collaboration of Punjab Small Industries Corporation (PSIC) and Bank of Punjab (BOP). Under the scheme, citizens will be provided easy loans worth more than Rs30 billion for new and running businesses besides assisting the small and medium enterprises to recover from coronavirus crisis.
Under this scheme, soft loans will be provided to needy men, women and the transgender community for rehabilitation of corona affected businesses or to start new ventures.
Punjab Rozgar Scheme has been designed with special focus on generating employment opportunities for the youth by creating economic activities. University Graduates with Entrepreneurial Skills and Diploma / Certificate holders of Technical / Vocational Training Institutes, as well as existing businesses hit by COVID-19 will be considered.
Punjab Rozgar Scheme 2021 Eligibility Criteria:
The following eligibility criteria will be adhered to process the loans under Punjab Rozgar Scheme:
- Age: 20 to 50 years
- Gender: Male / Female / Transgender
- Resident: Citizen of Pakistan, Resident in Punjab, verified through CNIC
- Business Location: Punjab
- Business Type: Sole Proprietor, Partnership, or any business fulfilling other eligibility criteria
- Must have a clean e-CIB / Credit History
- For startups / new businesses
- Having a viable business plan
- For existing businesses
- Having a viable business plan with a focus to sustain the impact of COVID-19
- Having Valid CNIC
- Any other parameter to be set by Punjab Small Industries Corporation (PSIC) / Government
Under Punjab Green Development Program, the limit of a loan will remain the same. However, preference will be given to the micro-enterprises, ready to adopt the environment improving technology, having up to 10 numbers of employees.
|Purpose of loan||
|Processing fee||Rs. 2000/- (non-refundable) at the time of submission of application|
|Tenure of loan / Repayment Period||From 02 to 05 years including a grace period|
|Grace period||Up to Six (06) Months (However, the markup will be charged during the grace period)|
|Type of loan||Term loan as per bank policy and working capital|
|Cost of Capital|
|Cost of Capital to be paid by Borrower:
|Debt: Equity||80:20 (For males)
90:10 (Women, Transgender and Differently abled)
(Meaning thereby 20% / 10% of the project cost will be invested by the borrower)
|Disbursement of loans||In installment(s) as per approved business plan|
|Security of loan||1. Security for Clean Lending
i. Security for loan limit from Rs. 100,000/- to Rs. 500,000/-
Personal Guarantee of the borrower along with net worth statement.
ii. Security for loan limit from Rs. 500,001/- to Rs. 1,000,000/-
· Personal Guarantee of the borrower along with at least one, Third Party guarantor with overall net worth collectively equal to size of the loan applied.
(Third Party should be a citizen of Pakistan and resident of the Punjab having a valid CNIC and must not be older than 55 years. Moreover, e-CIB of third party should be clean i.e. it should not have any overdue or write off history)
· Guarantee of Government employee of BS-10 and above alongwith personal guarantee of the borrower.
(Departmental gurantee of the government employee will be mandatory)
Net Worth / Wealth Description and Calculation Criteria:
· Net Worth may be in the form of Tangible Asset i.e Property or Vehicle ownership and may be assessed as follows:
a. Property may be valued at respective DC rate.
b. Property valuation may be established from Wealth Tax statement.
c. Evaluation by Pakistan Banks Association (PBA) approved evaluator/agent
d. Vehicle valuation shall be invoice price less depreciation (10% for each passing year).
2. Security for loan limit from Rs. 1,000,001/- to 10,000,000/-
Mortgage of Assets
a. Residential / Commercial / Industrial / Agricultural Property / vehicle having clean title and clear access (acceptable to the bank) and valued by banks approved appraiser as per bank’s policy.
b. The property should be in the name of borrower or blood relative of individual / proprietor / partners.
c. Documentation shall be as per bank credit policy / legal division. Charge / hypothecation on fixed / current assets as per internal / external regulations.
Schedule of Charges:
Schedule of Charges to be paid by the Applicant / Borrower will be as under:
|Application Processing Fee||Rs.2000/- (non-refundable) at the time of submission of application|
|Valuation / legal / documentation charges inclusive of revenue stamps, Government duties / fee etc.||At Actual Rate|
|Insurance ( if applicable)||At Actual Rate|
|Partial / Balloon / Early Settlement Charges||NIL|
|Late Installment Payment Charges
|Rs. 1 per 1000 per day on principal amount to be calculated from monthly installment from due date till date of actual payment|
Punjab Rozgar Scheme 2021 Apply Online Eligibility Criteria
Punjab Rozgar Scheme 2021 Target Groups:
- University/College Graduates with entrepreneurial skill
- Diploma/Certificate holder from TVET having technical/vocational training.
- Artisans and skilled workers
- Existing Businesses
- (However, preference will be given to existing businesses in wake of the current COVID-19 pandemic)
- Micro and other enterprises that apply for a loan to adopt resource-efficient and cleaner production technologies or any Green / Environment-friendly intervention to improve the environmental performance of their operations.