Lahore: The President of the Lahore Chamber of Commerce & Industry (LCCI), Ali Hussam Asghar, has expressed approval for Prime Minister Muhammad Shehbaz Sharif's initiative to boost small and medium-sized enterprises (SMEs) by setting a target of Rs2 trillion in SME financing by June 2028. Asghar views this initiative as a pivotal move to bolster investment, employment, and economic growth in Pakistan.
According to Lahore Chamber of Commerce and Industry, the focus on enhancing access to finance for SMEs demonstrates the government's dedication to fostering an environment conducive to entrepreneurship and economic activity. Asghar highlighted the importance of SMEs as the backbone of the nation's economy, pointing out their potential to create jobs, expand industrial activities, and contribute to exports. He emphasized that improved access to financing would enable SMEs to modernize, adopt new technologies, and increase productivity.
Asghar also praised the government's decision to target Rs2 trillion in SME financing, aiming to reach 775,000 potential borrowers by the 2028 deadline. This initiative, he noted, could broaden financial inclusion and integrate more businesses into the formal financial system. The role of Federal Minister for Information and Broadcasting, Attaullah Tarar, in communicating these initiatives to the business community was also acknowledged by Asghar.
He noted the reported increase in SME financing from Rs1.114 trillion in June 2026 to over Rs1.137 trillion by September 2026, along with a rise in SME borrowers, as an encouraging development. Asghar urged the continuation of this momentum through practical and business-friendly measures, underscoring the need for strong coordination among government entities, financial institutions, and the private sector.
Asghar suggested simplifying financing procedures, enhancing financial literacy, and expanding digital platforms to tackle challenges faced by SMEs in accessing credit. He advocated for the development of flexible financing products tailored to the needs of small businesses and startups, while welcoming broader government initiatives to improve access to finance in agriculture and housing sectors.
The LCCI President reiterated the importance of creating a sustainable and inclusive financial ecosystem, where SMEs and underserved sectors can access affordable financing. He expressed confidence that the SME financing initiative, if effectively implemented, would unlock the potential of Pakistan's businesses, encourage investment, and contribute to sustainable economic growth.