Maryam Nawaz, the chief minister of Punjab, introduced the Asaan Karobar Card program. Under this plan, a digital SME Card will be used to offer an interest-free loan of up to one million PKR. The goal is to assist small company owners in expanding and maintaining their enterprises. The plan will be set up using digital channels, such as POS and mobile apps, to ensure the money are used transparently.
Key Features of Asaan Karobar Card
- Amount Limit: 1 Million PKR
- Loan Tenure: 3 Years
- End-user Interest Rate: 0%
- Loan Type: Revolving Credit Facility for 12 months
- Repayment Terms: 24 equal installments every month (over the first year)
- Grace Period: Repayment begins three months after issuing.
Usage
- payments to suppliers and vendors. taxes, government fees, and utility bills.
- Digital Transactions (Mobile App and Point of Sale).
- Cash withdrawals for various business needs up to 25% of the maximum.
Eligibility Criteria for Asaan Karobar Card
- The age range is 21–57 years old.
- must be a Punjabi resident.
- must be a citizen of Pakistan.
- Punjabi small business owners.
- must possess a current CNIC.
- The applicant’s registered mobile number.
- current or potential Punjabi business.
- No past-due debt and a spotless credit history.
- Psychometric and credit evaluations must be satisfactory.
Loan Usage & Repayment Details
⦁ During the first six months, the first 50% limit will be usable.
⦁ Three months following the card’s issuance will be the Grace Period.
⦁ A minimum monthly payment of 5% of the remaining loan total (principal part only) must be made by the borrower after three months.
⦁ After regular repayments, PRA/FBR registration, and satisfactory usage, the second 50% limit will be issued.
⦁ The money can only be used for business-related activities.
⦁ Transactions that are not necessary (such as entertainment or personal consumption) are prohibited and will be stopped.
⦁ After the first year, the remaining amount is paid back in equal monthly installments (EMIs) over a period of two years.
Important Guidelines
⦁ Digital applications will be accepted.
⦁ 500 PKR is the non-refundable processing cost.
⦁ Authorized agencies will do digital CNIC, creditworthiness, and business location verification.
Charges & Fees
⦁ The annual card fee, which will be deducted from the obligor’s authorized limit, is PKR 25,000 + FED.
⦁ Additional fees will apply for life insurance, card issuance, and delivery costs that are covered by the plan.
⦁ In the event that installments are not paid on time, late payment fees will be recouped in accordance with the Bank’s policy and charge schedule.
Security Details
⦁ The borrower’s digitally signed personal guarantee.
⦁ The portfolio includes life insurance.
⦁ After a loan is approved, Urban Unit physically inspects the business location within six months, and then every year after that.
Conclusion
The Pakistani chief minister of Punjab has introduced the Asaan Karobar Card. It will assist Punjab’s young entrepreneurs in empowering themselves and maintaining their enterprises. The loan, which has a three-year term and a maximum sum of one million PKR, would be fully interest-free. The requirements listed above are some of the requirements that the candidate must meet in order to apply.