PM orders removal of 80% export revenue requirement for SME financing

Prime Minister Shehbaz Sharif on Thursday ordered the removal of an export-revenue condition that required small and medium enterprises to earn at least 80% of their income from exports to access long-term financing. At a meeting on support for export-oriented SMEs, he also told authorities to ensure banks follow concessional lending schemes for the sector.

Officials said around 17,000 SMEs in Pakistan are involved in exports. The State Bank of Pakistan had received more than 10,000 loan applications after opening a dedicated portal on November 1, while Rs300 billion was set aside for SME and new-exporter financing under the Export Finance Scheme and Rs350 billion for the Long-Term Financing Facility this year.

The meeting also covered exporters’ concerns about taxes, refunds, provincial charges, accreditation, logistics, payments and financing access. Shehbaz called for easier regulatory processes, stronger accreditation and more nearby testing facilities, including modern laboratories, to support exporters.