CM Punjab Asaan Karobar Card – Your Step-by-Step Guide to the Digital SME Loan Program in Punjab

CM Punjab Asaan Karobar Card – Your Step-by-Step Guide to the Digital SME Loan Program in Punjab

Overview

The program provides interest-free loans up to PKR 1 million through a digital SME card, aimed at helping small entrepreneurs in Punjab grow and sustain their businesses. It promotes transparency in fund utilization, using digital channels such as mobile apps and POS systems for structured management.

یہ پروگرام ڈیجیٹل SME کارڈ کے ذریعے PKR 10 لاکھ تک بلاسود قرضے فراہم کرتا ہے، جس کا مقصد پنجاب میں چھوٹے کاروباریوں کو اپنے کاروبار کو بڑھانے اور برقرار رکھنے میں مدد فراہم کرنا ہے۔ یہ ڈیجیٹل چینلز جیسے موبائل ایپس اور POS سسٹمز کو منظم انتظام کے لیے استعمال کرتے ہوئے فنڈ کے استعمال میں شفافیت کو فروغ دیتا ہے۔

Key Features

• Maximum Loan Limit: PKR 1 million
• Loan Tenure: 3 years
• Loan Type: Revolving credit facility for the first 12 months
• Repayment Terms: 24 equal monthly installments after the first year
• Grace Period: 3 months from card issuance before repayment begins
• Usage of Loan:
  • Payments to vendors and suppliers
  • Utility bills, government fees, and taxes
  • Cash withdrawal (up to 25% of the limit) for business-related expenses
  • Digital transactions via POS and mobile apps
• Interest Rate: 0%

Eligibility Criteria

• Open to all Small Entrepreneurs (SEs) based in Punjab
• Age between 21 to 57 years
• Pakistani national, residing in Punjab
• Valid CNIC and registered mobile number
• Business (existing or prospective) located in Punjab
• Satisfactory credit and psychometric evaluation
• One application allowed per individual and business
• Clean credit history with no overdue loans

How to Apply?

1. Submit your application digitally via the PITB portal.
2. Pay a non-refundable processing fee of PKR 500.
3. Digital verification of your CNIC, creditworthiness, and business premises will be conducted by authorized agencies.

Loan Usage and Repayment

• First 50% Limit: Available within the first 6 months of the loan.
• Grace Period: A 3-month grace period is granted after card issuance.
• Repayment Schedule: After the grace period, borrowers begin repaying in equal monthly installments, with a minimum payment of 5% of the outstanding principal balance.
• Second 50% Limit: This amount is released upon satisfactory usage of the first limit, regular repayments, and registration with PRA/FBR.
• Fund Restrictions: The loan can only be used for business-related expenses. Personal or non-business-related transactions are blocked.
• Repayment after Year 1: The remaining balance is repaid over the next 2 years through equal monthly installments (EMIs).

Charges / Fees

• Annual Card Fee: PKR 25,000 + FED, to be deducted from the approved loan limit.
• Additional Charges: Costs for life assurance, card issuance, and delivery are covered by the scheme.
• Late Payment Charges: Applied according to the bank’s policy and schedule of charges.

Security Details

• A personal guarantee digitally signed by the borrower is required.
• Life assurance is included in the loan portfolio.
• Urban Unit will carry out physical verification of the business premises within 6 months of loan approval and annually thereafter.

Key Conditions

• Funds must be used for core business activities. Any personal or non-business expenses are blocked.
• Registration with PRA/FBR is mandatory within 6 months after card issuance.
• Only one application is allowed per individual/business.

Additional Support for Applicants

• Feasibility Studies: Available on the PSIC and BOP websites for startups and new businesses.
• Helpline: 1786
• Website: For the latest details about the program, visit CMPunjab Finance.

By following this process, small entrepreneurs can access the financial support needed to expand their businesses and ensure sustained growth through transparent and efficient fund management.