اس آرٹیکل کو اردو میں پڑھنے کیلئے کلک کریں
Pakistan’s farm credit is now mostly an SBP-designed system, not a single loan. In FY25 banks disbursed a record Rs. 2,577 billion in agricultural credit, up 16% year-on-year, and Rs. 1,412 billion in the first half of FY26 to 2.97 million borrowers, with an FY26 plan of Rs. 3,062 billion (SBP Agricultural Credit Advisory Committee, 12 Feb 2026). SBP no longer sets a fixed target per bank — each bank files its own Agricultural Credit Expansion Plan. This guide explains the five schemes that actually decide whether a farmer gets a loan, and what each one means for a bank or agribusiness reader.
- Zarkhez-e — Asaan Digital Zarai Qarza (the digital small-farmer loan)
- What it is: collateral-free, tech-enabled production financing for subsistence farmers, spent through digital channels at reputable merchants for seeds, fertiliser, pesticides and diesel only.
- Limits (already verified in our Zarkhez-e guide): landowners up to Rs. 100,000/acre, max Rs. 1,000,000; tenants up to Rs. 100,000/acre, max Rs. 500,000; land limits 12.5 acres Punjab/KPK, 16 Sindh, 32 Balochistan; at least 75% in-kind, cash up to 25% landowners / 15% tenants; fee Rs. 1,200; tenor up to 12 months.
- For bankers: this is SBP’s flagship delivery channel — digital onboarding, standardised assessment, land/crop data integration and traceable input spending, aimed at making small-ticket lending viable. Link to the full guide: https://agri.pk/zarkhez-e-asaan-digital-zarai-qarza-pakistan-guide/ — do not repeat its full detail here.
- Risk Coverage Scheme for Small Farmers and Underserved Areas
- What it is: a federal government first-loss cover so banks lend to new, small and underserved farmers without carrying the full default risk.
- Key figures: up to 10% first-loss coverage on the portfolio; SBP expects about Rs. 100 billion a year and 250,000 new borrowers a year for three years (750,000 by FY2027-28, Rs. 300 billion cumulative, per the Economic Survey summary); under ACFID Circular No. 2 of 2025 (20 August 2025): maximum loan Rs. 3 million, tenor up to 12 months (18 months for sugarcane), Rs. 10,000 paid to the bank per new borrower towards operating costs, covering production loans for crops, dairy, livestock and fisheries from 1 July 2025 to 30 June 2028.
- For bankers: the cover is on the portfolio, not a guarantee for any single borrower — credit assessment still applies.
- Financing Framework for Small Enterprises & Small Farmers — SBP Circular No. 7 of 2026 (28 October 2026)
- What it is: the newest piece. A bank (Participating Financial Institution) may lend to small farmers through a microfinance bank, non-bank microfinance company or non-bank finance company acting as its agent — wholesale funding or an agency arrangement — instead of building its own rural branch network.
- Maximum loan per agricultural borrower: Rs. 500,000 through a non-bank microfinance company; Rs. 2,000,000 through a non-bank finance company or microfinance bank. (Small-enterprise limits are Rs. 1 million / Rs. 5 million respectively.)
- Agent eligibility (for bankers): operational self-sufficiency at least 100%, SME + agriculture non-performing loans at most 5%, unqualified audited accounts for two years, at least 3 years’ experience in enterprise/agri financing, and a formal agency agreement. Loans under it are covered by the federal risk-coverage schemes for SMEs and small farmers.
- For farmers: in practice this means a loan may reach you through a microfinance institution even where your bank has no branch — ask which institution is your bank’s agent.
- Electronic Warehouse Receipt Financing (EWRF)
- What it is: store your harvested produce in an accredited warehouse, get an electronic warehouse receipt stating its assessed value, and use that receipt — not land — as collateral for a bank loan. It is meant to stop distress sales straight after harvest.
- Scale (Economic Survey, July–March FY26): Rs. 3.0 billion to 507 farmers through 35 accredited warehouses.
- For bankers/agribusiness: warehouses are accredited through collateral management companies under SECP’s 2019 regulations; SBP’s February 2026 committee also discussed scaling EWRF to improve post-harvest liquidity and price discovery. Storage capacity, not just the receipt, is the bottleneck.
- Revised Crop Loan Insurance Scheme Plus (CLIS+) — term sheet 20 April 2026
- What it is: crop-loan insurance is mandatory on all crop production loans (collateralised or not) for wheat, rice, sugarcane, maize, cotton and potato, from sowing/transplanting to harvest.
- Premium: 2% per crop per season; the government bears the premium up to 2% for borrowers up to 25 acres nationwide (32 acres in Balochistan).
- Payouts in a notified calamity area: one-time loss-of-income support Rs. 15,000 (male farmer) / Rs. 17,500 (female farmer); personal accident/bodily injury cover up to Rs. 250,000 / Rs. 275,000; banks to submit claims within 15 working days, insurers to settle within 30 working days; total insurer liability capped at 300% of premiums collected.
- Note the timeline honestly: SBP discussed CLIS+ as a framework under development in February 2026; the term sheet is dated 20 April 2026 — present April 2026 as the term-sheet date, not as a February launch.
- Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB&ALS)
- What it is: federal youth loans delivered through banks under SBP oversight, including an agriculture track (crop production, livestock, dairy, fisheries, farm development).
- Tiers: Tier 1 up to Rs. 500,000 at 0% markup (personal guarantee); Tier 2 above Rs. 500,000 to Rs. 1,500,000 at 5%; Tier 3 above Rs. 1,500,000 to Rs. 7,500,000 at 7%; overall cap Rs. 7.5 million per borrower. Age 21–45 (18 for IT/e-commerce). Apply via the official portal pmybals.pmyp.gov.pk.
- Scale (SBP quarterly tables, cumulative Jan 2023–Dec 2025): agriculture applications approved 295,043 (Rs. 121,531.7 million), disbursements 289,834 (Rs. 115,541.5 million).
Which scheme fits your farm? (farmer quick-match)
- Small farmer, no collateral, need inputs this season: start with Zarkhez-e.
- Young farmer (21–45) starting or expanding a farm business: check PMYB&ALS tiers first — Tier 1 is interest-free up to Rs. 500,000.
- Harvest in hand, prices low: ask your bank about warehouse receipt financing at an accredited warehouse instead of a forced sale.
- Already borrowing for a crop: you are already covered by CLIS+ for the six listed crops — keep your loan papers and any calamity notification.
- Bank says no because you are a new/underserved borrower: ask whether your loan can be covered under the Risk Coverage Scheme, or reached through the bank’s microfinance agent under Circular 7 of 2026.
What to ask your bank (one visit, five questions)
- Which of these schemes am I eligible for, and what is my maximum limit under it?
- What documents do you need — CNIC, land record/fard, proof of cultivation?
- Is my loan covered by CLIS+ / the Risk Coverage Scheme, and what does that change for me?
- If I store my crop, is your warehouse receipt facility available, and at which accredited warehouse?
- What is the markup/profit rate, fee, tenor and repayment date in writing before I sign?
A note on agri.pk: this is an information guide, not a bank or dealer — rates, limits and eligibility are set by SBP circulars and each bank’s own policy, so confirm the current terms with your bank before applying. SBP and banks may revise a scheme after publication.
FAQ
- Is Zarkhez-e the same as the SBP schemes in this guide? No — it is one scheme in the system; this guide places it alongside the others.
- Does risk coverage mean my loan is guaranteed? No — it covers the bank’s portfolio up to 10%, you still repay.
- Is crop insurance automatic? Yes for production loans on the six crops, but a payout needs a notified calamity area.
- Can a bank refuse me even under these schemes? Yes — eligibility, documents and credit assessment still apply; the schemes change the bank’s risk and reach, not the approval decision.