Prime Minister Youth Business Loan (PMYBL) Scheme

To formalize the ideology of Prime Minister's Youth Business Loan scheme, Bank AL Habib is committed to strengthening the young men/women entrepreneurs of Pakistan by supporting the scheme and providing the opportunities of financial independence through self-employment.

With this objective, Bank AL Habib shall be extending Prime Minister's Youth Business Loans based on subsidized mark-up in order to help these entrepreneurs run their business satisfactorily.

Please call our 24/7 Helpline (+92 21 111-014-014) for any further guidance and list of designated branches to apply for Prime Minister Youth Business Loan scheme.

Salient Features:
1. Brief Description Small business Loans will focus on(but will not be restricted to) unemployed youth, especially educated youth looking for establishing or extending business enterprises.
2. Loan Classification SME Financing (Small Business)
3. Eligibility Criteria All Men/Women holding CNIC, aged between 21 to 45 years having an entrepreneurial potential may apply from the designated branches, mapped with their area of residence or business.
4. Security Requirements Self Guarantor (where offered security/immovable property is in their own name and should be valued at least 1.5 times of the loan amount).
Individual having the net worth of at least 1.5 times of the loan amount
Government Employee of BPS-15 or above with minimum 8 years of remaining service
5. Additional collaterals Business Hypothecation (Stocks, Inventory, Receivables etc)
6. Pricing / Mark Up Rate 6% per annum
7. Size of loans Maximum Up to Rs. 2 Million. Minimum Rs.0.1 Million
8. Debt-Equity ratio 90:10. The borrower’s contribution of equity would be in the form of cash or immovable property and will be required after approval of the loan.
9. Loan period Maximum tenure of loan is eight (8) years including first year as grace period. In Grace Period, customer will only pay the markup - excluding principal loan amount.
10. Disbursement One time disbursement or could be in tranches as well (within 3 months from the date of disbursement) depending on the approval.
11. Processing Fee Form processing fee will be Rs.100/- (non-refundable), Recovered at the time of loan disbursement
12. Documents at the Time of Application Submission 1. Duly filled application form.
2. One Photograph of Applicant
3. Clear copy of CNIC of Applicant and Guarantor (if applicable)
4. Business feasibility (SMEDA’S pre-approved feasibility /applicant‘s own –prepared business                feasibility).
5. Borrower‘s basic fact sheet (BBFS) along with information about guarantor.
6. Existing business proof.
13. Guarantor Qualification Criteria Guarantor must

A. Have individual net worth of 1.5 times of requested loan amount. Applicant can also provide guarantee of more than one guarantor (maximum 3) with aggregate net worth of 1.5 times of the requested loan amount.


B. Be Government Employee of BPS-15 or above with minimum 8 years of remaining service. No net worth required if guarantor is a government employee.

Either of the two guarantors in (A) and (b) will also fulfill the following conditions:
  • Clean Credit history
  • Not an employee of Bank working as Executing Agency for PMYBL Scheme
  • Cannot be the Applicant

The following points in this respect may also be noted:
  • Blood relative can be a guarantor
  • It is not mandatory for the guarantor to reside in the same city of the applicant

There is no age limit for guarantors except government employees
14. Sectors and Products Standardized schemes / projects / undertakings are already designed by SMEDA. Projects designed by private sector service providers or individuals themselves will also be admissible.
  • Engineering & Manufacturing
  • Information Technology
  • Agriculture & Fruit Processing
  • Food
  • Live Stock
  • Agriculture
  • Services
  • Minerals
15. Turn Around Time (TAT) for approval 15 Days excluding weekends and all national holidays occurring during this tenure.
  • Exception are available only in cases where delays/ time overruns are caused by events beyond bank’s control

  • Applicant has requested for a deferment.
  • Applicant has not provided information or documents required for processing of application on time
  • Any event other than weekly or gazette holidays which has suspended normal business activity such as natural calamity, general strikes or law and order situation, etc.
PMYBL Application Form