3.7 million households to obtain loans of Rs1.4tr

ISLAMABAD: Prime Minister Imran Khan will inaugurate on Monday (today) an ambitious Kamyab Pakistan (KPP) program under which the government plans to provide 1.4 trillion rupees in micro-loans to 3.7 million households.

A flagship initiative of the current government, the Kamyab Pakistan Program (KPP), will be inaugurated by the Prime Minister on October 4, 2021. The KPP will be rolled out gradually. In the first phase, Gilgit-Baltistan, AJK, Balochistan, Khyber Pakhtunkhwa and the poorer districts of Punjab and Sindh are included.

In line with the Prime Minister’s vision to empower the masses, the government has taken multiple initiatives, which aim to reduce poverty, create jobs and provide affordable housing for the masses.

The Kamyab Pakistan program was designed to transform the lives of marginalized segments of society. The program will disburse microcredits in the amount of Rs.1400 billion to the poorest of the poor, 3.7 million households, providing them with essential financial support to improve their livelihoods. Funding under the KPP will only be extended to families whose cumulative average monthly income does not exceed Rs 50,000 per month.

This is the first such program in Pakistan’s history in which banks are connected to the lowest income segment through microfinance institutions. KPP, a brainchild of Finance Minister Shaukat Tarin, is based on the concept of financial empowerment, that is, creating opportunities to improve the financial health of people with limited access to resources.

The finance minister said the government is firmly committed to not providing fish to the poor but teaching them how to catch one for a sustainable lifestyle under the umbrella of KPP. The entire KPP paradigm will change the lives of disadvantaged people in Pakistan over the years. The program is based on the most innovative funding structure in recent times.

KPP has five components namely (i) Kamyab Kissan (ii) Kamyab Karobar (iii) Naya Pakistan low cost housing (iv) Kamyab Hunarmand and (v) Sehatmand Pakistan. Under the first 3 components, micro-loans will be disbursed among eligible people registered with Ehsaas Data, scientifically collected via the National Socio-Economic Register (NSER). The last two components of the KPP will be integrated into existing government initiatives. Kamyab Hunarmand is designed to fit into the government’s ongoing skills development program to provide educational and vocational training to our talented young people. The KPP also includes a user-friendly portal called Kamyab Pakistan Information System (KPIS). The portal will be integrated with the Ehsaas and Nadra databases for the verification of the eligibility of beneficiaries in order to allow the executing agencies (i.e. MfP) to finalize the funding modalities in the most efficient way. efficient and most transparent.

KPP will complement the government’s efforts to fight inflation by enabling the masses to improve their livelihoods. The KPP is a real dispensation from a responsible state to elevate its poor and vulnerable segments by emphasizing a “bottom-up approach” to achieve inclusive and sustainable economic growth as envisioned by the Prime Minister.

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