The government says 750,000 farmers to join financial system under agriculture loan program as part of a broader push to expand access to credit and formal financial services. Adviser to the Finance Minister Khurram Schehzad said the initiative aims to extend collateral-free lending and digital registration to small and medium growers across Pakistan.
What is the program?
The “Zarkhaiz Asaan Zarai Qarza” scheme is an agriculture financing initiative designed to integrate farmers into the formal banking system. It offers:
- Digital registration for applicants
- Collateral-free agricultural loans
- Access to multiple farm support services
The government has set a three-year target to disburse Rs300 billion in agricultural credit under the scheme.
Why does it matter?
Many farmers operate outside the formal financial system and rely on informal credit, which can be costly and unstable. Expanding access to regulated loans is intended to improve farm investment, productivity, and financial inclusion alongside parallel efforts in housing finance and small and medium enterprise (SME) lending.
Who is affected?
Small and medium-scale farmers are the primary beneficiaries. According to the Finance Ministry adviser, 33,000 farmers have registered so far and about 8,000 loans have been approved.
What do the latest figures show?
Official data cited by the adviser indicate that total agricultural financing reached Rs2.5 trillion last year. In the first half of the current year, financing stood at Rs1.4 trillion.
What happens next?
Authorities aim to scale digital onboarding and loan disbursement to meet the three-year target. The program is part of a wider policy focus on bringing productive sectors into formal financial channels.
