Karachi: The National Bank of Pakistan (NBP) announced on Friday it will be re-launching the Prime Ministers Youth Programme again in September after conversion to Shariah-compliant mode of financing.
NBP President Saeed Ahmed while talking to journalists at the bank’s headquarters said that the previous youth programme scheme hadn’t garnered the results expected as youngsters were unable to apply for the scheme because of the mark-up requirement.
He added the pace of disbursement of loans had slowed down due to the interest-based part of it which had caused impediments and the reason for its failure to be a success.
Ahmed added that the bank had the power to investigate the applications, check its recovery and disburse funds. He shared that recovery now stood at 92-93pc, much improved than the loans which were handed out to small and medium enterprises (SMEs).
The outstanding amount for four years stood at Rs17b, while the PM’s Youth Programme target is set at Rs100b, said Ahmed.
An agreement with Poverty Alleviation Fund (PAF) has been signed by NBP for provision of loans to 35,000 skilled and trained youth under this youth scheme, said its President.
