KARACHI: The Sindh government has initiated a survey of small and medium sized sick units to help them resume production by providing them necessary financing, and an amount of Rs2 billion has initially been earmarked.

The number of such units is 700, but experts believe that the number of such units might have increased due to worsening business conditions prevailing during the last two years.

The scheme, launched by the Board of Investment, would be implemented through the Sindh Bank and credit would be provided to sick industrial units on subsidised terms.

The objective of the scheme is to boost economy of smaller towns and generate employment activities.

Secretary of Commerce and Industry, Shazia Rizvi, said that the revival of sick units would lead to a chain of economic activities with backward and forward linkages to improve overall socio-economic conditions in the province.

The key objective of the scheme is to generate jobs by reviving labour intensive and big industrial units.

She said that the proposed revival would have a chain effect on all dependent ancillary units which would resultantly increase Sindh’s industrial share in the GDP.

The survey through consultants will specify industrial units with requisite details about production capacity and reasons for their sickness as well resources required to make the unit functional.

The disbursement and appraisal of sick units by the Sindh Bank would strictly be according to guidelines laid down by the State Bank.

The capital cost of the scheme will be determined after the evolution and appraisal of the proposals to be submitted to the bank.