Prime Minister's Youth Business and Agriculture Loan Scheme (PMYB&ALS)

Bank AL Habib offers Shariah-compliant financing solutions to support the growth of small and medium enterprises. Our facilities are designed to meet diverse business needs through short- and long-term modes, ensuring flexibility and ease for entrepreneurs.

We also provide Trade Finance services including Letters of Credit, Pre- and Post-Shipment Finance, and Letters of Guarantee to facilitate smooth business operations. Additionally, financing is available under SBP schemes for SMEs and trade, such as the Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB & ALS).

Eligibility Criteria

All citizens holding CNIC, aged between 21 and 45 years with entrepreneurial potential are eligible. For IT/ E-Commerce related businesses, the lower age limit will be 18 years
For IT/E-Commerce related businesses, at least matriculation or equivalent education will be required
Above age limit condition is applicable on individual and sole proprietors. In case of all other forms of business including partnership and companies, only one of the owners, partners or directors must in the age bracket prescribed above
Small & Medium Enterprises (startups and existing businesses) owned by youth as per above mentioned age brackets are also eligible
In case of agriculture, farmers classification as per SBP’s "Indicative Credit Limits & Eligible Items for Agriculture Financing 2020” will be applicable

Financing Type

Term/ Working Capital Financing under Murabaha and Financing of Machinery & locally manufactured vehicle for commercial use under Diminishing Musharakah
Only one vehicle per applicant is allowed. An applicant in food franchise and distribution business may avail financing for more than one vehicle
Upto 65% of total financing limit can be availed for Civil Works. For agriculture, production and development financings are eligible

Financing Tenor

Long Term: under Diminishing Musharakah Upto 8 years with maximum grace period of 1 year
For working capital/production financings i.e. Murabaha under T2 and T3, tenor will be upto 5 years. Banks will have the option to finance working capital/production Financings wherein only profit portion will be payable during first 2 years and thereafter both principal along with the profit will be paid in next 3 years making the total payment period of upto 5 years

Financing Size

Product	Financing Limit
Tier 2	Above PKR 0.5 Million and up to PKR 1.5 Million
Tier 3	Above PKR 1.5 Million and up to PKR 7.5 Million

Pricing

Tier 2 : 5%

Tier 3 : 7%

Security Arrangement

Tier 2 (T2) Financings – Clean (secured only by personal guarantee of the applicant)
Tier 3 (T3) Financings – As per Bank Policy

Vehicle financed under T2 and T3 to serve as collateral

Number of financings per applicant

A customer may avail maximum two Financings (including one long term and one short term Financing) within overall maximum financing limit of Rs 7.5 million
In case of agriculture, a customer may avail one financing for each production and development purposes within overall maximum financing limit of Rs 7.5 million

Sector & Products

All sectors and products. Moreover, in case of agriculture, all crop and non-crop sectors (including crop production, livestock, poultry, fishery, dairy etc.) are also eligible.