Meezan Bank provides Shariah-compliant banking services such as financing, trade, and deposit-related services to small and medium-sized enterprises. We combine the expertise of in-house product specialists and Shariah scholars to provide Shariah-compliant financing solutions to meet the working capital finance, import finance, export re-finance, long-term finance, documentary credit requirements, and project financing needs of our customers.
Under the National Financial Inclusion Strategy (NFIS) and strategic direction of the State Bank of Pakistan (SBP), the SME sector has been identified as one of the key priority areas. In line with this strategic direction, key benchmarks to be achieved by 2020 are:
i) Increase SME share from the existing 8% of private sector credit to 17%, and
ii) Increase the number of borrowers from 174,000 to 500,000.
To achieve these objectives, a policy has been prepared for the promotion of SME finance (conventional and Islamic) in Pakistan. This policy is built on nine key pillars, which include: improving the regulatory framework, upscaling of microfinance banks, risk mitigation strategies, simplified procedures for SME financing, program-based lending and value chain financing, capacity building and awareness creation, handholding of SMEs, leveraging technology, and simplification of the taxation regime.
In line with the vision of the Government of Pakistan, the State Bank of Pakistan launched a financing scheme called Islamic SME Asaan Finance (I-SAAF), specifically targeted at the growth of small businesses. This scheme provides SMEs with financing up to PKR 10 million at a discounted rate of 9% per annum. Financing is available only to companies/customers who are not existing borrowers of Meezan Bank. It may be availed for short-term working capital needs or long-term financing for the purchase of commercial equipment, machinery, vehicles, or property.
| Eligibility | All SMEs (new or existing businesses) not having a current relationship with Meezan Bank are eligible. The facility can be availed from one bank only. |
| Types of Financing | Term finance and working capital lines. |
| Financing Limit | Up to PKR 10 million |
| Pricing | 9% per annum |
| Tenor | As per the approved terms and conditions of the facility. |
| Security | Collateral/security as per the Bank’s internal policy. |
| *Other terms and conditions apply as per Meezan Bank’s and SBP’s policies from time to time. | |
To empower the youth and enable them to realize their entrepreneurial potential, the Government of Pakistan, in collaboration with the State Bank of Pakistan (SBP), has launched Phase III of the Prime Minister’s Youth Business and Agriculture Financing Scheme. This initiative aims to provide self-employment opportunities for unemployed youth across the country.
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| Gender Inclusion | At least 25% of the financing will be allocated to women customers. | Target Market (Geography/Sectors) | Available to all business sectors across Pakistan, including agriculture. | Application Process | Applications can be submitted through the PMYP Online Portal | ||||||||
| *Other terms and conditions apply as per the Bank’s and SBP’s policies from time to time. | |||||||||||||
The State Bank of Pakistan segregates Small and Medium Enterprises into Small Enterprises and Medium Enterprises to allow them certain benefits.
Annual Sales Turnover: Up to Rs. 150M
Max Financing Allowed: Up to Rs. 100M
Annual Sales Turnover: Rs. 150M to Rs. 800M
Max Financing Allowed: Up to Rs. 500M
Complete product menu to cater to your banking needs.
Flexible pricing (floating or fixed), with revision options: monthly, semiannually, or annually.
Long Term: Monthly / Quarterly / Semiannually
Short Term: Mutually decided between customer and bank.
Charity charged @ 20% per annum on each day of delay.
Meezan Bank offers complete solutions for all working capital needs including procurement of raw materials, asset purchases for trading, and financing overhead expenses. A full range of Shariah-compliant products is available to meet these requirements.
Long-term financing needs include acquiring assets like property, machinery, equipment, or vehicles. The following products cater to these needs.
Meezan Bank Limited and Karandaaz Pakistan have jointly launched the Corporate Vendor and Distributor Finance Program aimed at providing growth capital for small businesses in existing value chains in the country. Through this program, the two organisations will provide Rs. 9 billion to small and mid-sized corporate vendors and distributors on a program-based model over the next 5 years.
A private company established in August 2014 by the United Kingdom’s Department for International Development (DFID) and the Bill and Melinda Gates Foundation to promote access to finance for small businesses through a commercially directed investment platform, and financial inclusion for individuals by employing technology-enabled solutions.
Visit any of your nearest Meezan Bank branch offering SME solutions, click here to view the list of our SME branches.
Fill out the form below and you will be contacted by a Meezan Bank representative.