Micro-Credit Scheme for Skilled Labor in Khyber PakhtunKhwa - July 25, 2011

While taking into account the difficulties faced by small and medium entrepreneurs/skilled in accessing credit facilities, the Government of Khyber Pakhtunkhwa is starting a new microcredit scheme for providing easy credit to skilled labour in the Province.

The Pakhtunkhwa Hunermand Rozgar Scheme (Pakhtunkhwa Skilled workers Income Scheme) is being initiated this year to provide (self) employment opportunities to the skilled youth, reduce poverty and facilitate economic activities in the province. Government has allocated a handsome sum of PKR1300 million (1.3 billion) for this scheme where diploma/certificate holders from vocation or technical education centers will be provided loans ranging from PKR50,000 to PKR300,000 (for a period of 3 years) at very soft terms of 5% interest only.

As number of industrial workers employed in the province has dropped significantly over the last 3 years (from 54,000 to 24,000) due to the increased militancy and closure of businesses. This scheme will help these industrial workers to set-up their own businesses and employ others, if credit is available on easy terms.

Source: Published in The Dawn, July 25th, 2011 "Will microcredit scheme for skilled labour work?"