Punjab Govt Launches Asan Karobar Card Scheme Offering Rs1 Million Interest-Free Loans

The Government of Punjab has officially launched the Asan Karobar Card Scheme, a landmark initiative designed to uplift small entrepreneurs by providing interest-free loans of up to PKR 1 million.

According to the provincial government, the scheme aims to promote sustainable business growth through a digital SME card, ensuring structured and transparent utilization of funds.

Key Features of the Scheme:

• Loan limit: Up to PKR 1 million
• Tenure: 3 years
• Loan type: Revolving credit (first year)
• Repayment: 24 equal monthly installments after a 3-month grace period
• Interest rate: 0%

Borrowers can use the facility for supplier payments, utility bills, taxes, and digital transactions via POS or mobile app. Limited cash withdrawals — up to 25% of the loan amount — are also permitted strictly for business purposes.

Eligibility Criteria:

Applicants must be small entrepreneurs in Punjab, aged between 21 and 57, holding a valid CNIC and mobile number, with no overdue loans. Each applicant must pass psychometric and digital verification, and only one application per person or business is allowed.

Application Process:

Applications are submitted digitally through the PITB portal (akc.punjab.gov.pk) with a non-refundable processing fee of PKR 500. Verification is conducted via CNIC, credit checks, and business records.

The first 50% of the loan becomes accessible in the initial six months, while the remainder is disbursed after meeting tax registration requirements (PRA/FBR). Repayments begin following a 3-month grace period, with a minimum 5% of the outstanding balance payable monthly.

The scheme includes a digital personal guarantee, life assurance coverage, and feasibility studies available through PSIC and BOP websites. An annual card fee of PKR 25,000 + FED is deducted from the approved loan limit.

For support, applicants can contact the dedicated helpline at 1786.

The Punjab government stated that the Asan Karobar Card is part of its wider strategy to empower small businesses and strengthen economic growth through digital financial inclusion.