Starting or expanding a business in Punjab has become easier in 2026. The Punjab government, under Chief Minister Maryam Nawaz, has rolled out the Asaan Karobar Finance Scheme, offering interest-free business loans to support entrepreneurs, youth, and small business owners.
This initiative is being seen as a major boost for small and medium enterprises (SMEs), especially at a time when access to affordable financing remains a challenge.
What Is Asaan Karobar Finance Scheme?
The Asaan Karobar Finance Scheme is a Punjab government-backed loan program designed to help individuals start or grow businesses without paying any interest.
The scheme focuses on job creation, economic growth, and empowering self-employed individuals across Punjab through easy, transparent financing.
Key Benefits of Asaan Karobar Finance Scheme
Interest-Free Loans
Applicants repay only the loan amount. No markup. No hidden charges.
Wide Loan Range
Loans start from Rs. 100,000 and go up to Rs. 30 million, depending on business needs.
Flexible Repayment
Borrowers get up to 5 years for repayment with equal monthly installments.
Grace Period
A 3-month grace period allows businesses to stabilize before repayments begin.
Digital SME Card
Approved applicants receive a digital SME card for secure, cashless business transactions.
Loan Categories and Conditions
Tier 1 (T1) Loans
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Amount: Rs. 1 million to Rs. 5 million
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Security: Personal guarantee
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Processing Fee: Rs. 5,000
Tier 2 (T2) Loans
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Amount: Rs. 6 million to Rs. 30 million
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Security: Collateral required
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Processing Fee: Rs. 10,000
Export / SME Tier
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Amount: Up to Rs. 50 million
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Security: Collateral required
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Processing Fee: Rs. 10,000
Who Can Apply for Asaan Karobar Finance Scheme?
To qualify, applicants must meet the following criteria:
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Age between 21 and 57 years
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Business must be located in Punjab
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No history of defaulted bank loans
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Registered taxpayer or willing to register with FBR/PRA within 6 months
Required Documents for Asaan Karobar Finance Scheme
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Valid CNIC
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Proof of business (existing or proposed)
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Tax registration or return documents
How to Apply Online – Step-by-Step
Applying is completely online and user-friendly:
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Visit akf.punjab.gov.pk
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Register using your CNIC
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Complete the online application form
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Upload required documents
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Pay the processing fee
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Submit the application
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Track status via SMS or portal
After approval, the loan amount is issued through a digital SME card.
Repayment Rules You Should Know
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First installment starts after 3 months
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Payments are made monthly
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Late penalty: Rs. 1 per day per Rs. 1,000
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Funds must be used strictly for business purposes
Why This Asaan Karobar Finance Scheme Matters in 2026
With rising costs and limited access to affordable credit, the Asaan Karobar Finance Scheme is being welcomed as a practical solution for entrepreneurs. It reflects the Punjab government’s focus on youth empowerment, SME growth, and sustainable employment.
FAQs for Asaan Karobar Finance Scheme
1. Is Asaan Karobar Finance really interest-free?
Yes. Borrowers repay only the principal amount.
2. Can new businesses apply?
Yes. Both new and existing businesses are eligible.
3. Is collateral required for all loans?
Only for loans above Rs. 5 million.
4. How long does approval take?
Approval timelines vary but applications can be tracked online.
5. Can women entrepreneurs apply?
Yes. The scheme is open to all eligible applicants.
