Overview
The scheme offers interest-free loans up to PKR 30 million for High Tech Mechanization. It supports farmers, service providers and entrepreneurs in Punjab to promote adoption of hi-tech agricultural machinery to enhance productivity and reduce labor dependency, encourage private sector investment through facilitated bank financing and reduce losses due to delayed or inefficient harvesting, threshing, and handling by timely mechanized interventions.
Key Factors
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Maximum Loan Limit PKR 30 Million |
Equity Amount Minimum 20% (Applicant Share) |
Age Limit 21-65 Years |
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Loan Type Interest Free Loan Through Bank of Punjab |
Loan for Farmers, Service Providers and Entrepreneurs |
Local & Imported 12 Different High-Tech Agriculture Machinery |
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Loan Repayment Period 05 Years |
Repayment Term 20 Equal Quarterly Installments |
Grace Period 06 months |
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Application processing Fee Rs.5000/- |
Eligibility Criteria
- Applicant must be resident of Punjab Province
- Entrepreneur must hold valid NTN number.
- Applicant farmer must have land ownership of minimum 05 acres
- Applicant service provider must be registered with Agriculture Department (Field Wing), Govt. of Punjab
- Applicant must be of 21-65 years age.
- Applicant must hold valid CNIC and mobile number registered in his/her name
- Satisfactory credit assessment.
- Only one application per individual and business
- Clean credit history with no overdue loans
- Should have the ability to repay quarterly instalments (to be assessed by Financial Institution).
- Must be willing and able to deposit 20% equity contribution of the total machine cost upfront.
- One eligible applicant can avail subsidy once during the whole project period.
- Applicant will not sell/ transfer the machine(s) for 05 years or till the completion of the repayments of the 80% financed amount.
- Applicant must be willing to attend training or orientation session on use and maintenance of the machine.
- Applicant must be willing to periodic on-site monitoring and inspection by the Agriculture Department and Bank officials.
How to Apply
Streamline your searching process with the following steps:
- Select Category
Register and enter details (CNIC, mobile number), select applicant category (Farmer/Service Provider/Entrepreneur)
- Selection of Machinery
Carefully fill out the online application form with all the necessary, personal, contact details and select the require machinery.
- Upload Documents
Upload the required documents, ensuring they are clear and meet the specified format and size guidelines.
- Submit Application
Once you have reviewed all the information, submit your application for further processing.
Loan Usage and Repayment Details
- Bank after due diligence will approve or reject the loan
- In case of case approval by bank, the applicant will deposit minimum 20% of machine cost as equity with stipulated time period.
- The approved loan amount will be directly provided to the approved selected supplier by the applicant.
- Beneficiary farmer will repay the bank-financed amount in 20 equal quarterly installments.
- Government of Punjab will bear the interest cost of the loan amount.
Charges / Fees
- Initial application processing fee: PKR 5,000 Other bank charges as per bank’s policy will apply.
- In case of late payment of installments, late payment charges would be recovered from the beneficiary as per bank’s policy/schedule of charges.
Key Conditions
Funds usage restricted for 12 listed machines only Registration with FBR is mandatory before loan approval. Applications are limited to one per individual/service provider/entrepreneur The beneficiary farmer will not sell/transfer the machinery obtained through this project for 05 years or till the repayment of the loan financed amount.