ISLAMABAD: The federal government will disburse Rs3.5 billion under an interest-free loan scheme.

Prime Minister Nawaz Sharif approved the scheme during a meeting held here on Tuesday.

One million applicants — 50 per cent of them women from across the country — will be able to get loans under the scheme.

“I am convinced that if our youth are given proper guidance and financial support through micro credit schemes and better access to innovative technology, they can play their positive role in development of the country,” an official press statement quoted the prime minister as saying during the meeting.

Finance Minister Ishaq Dar, Chairperson of Prime Minister Youth Scheme (PMYS) Maryam Nawaz, Secretary Finance Dr Waqar Masood and other senior government officials attended the meeting.

The prime minister said micro finance schemes were the catalysts for political and economic development while micro credit was an instrument of change for the poor segment of the society, especially women.

Spokesperson for Pakistan Tehreek-i-Insaf Dr Shireen Mazari, on the other hand, has termed the government’s decision as a gimmick. The scheme, according to her, is not going to solve the real problems of poor people, such as inflation, loadshedding of electricity and unemployment. “This is the time the government should stop gimmickry and seriously tackle basic issues confronting the country,” she added.

Maryam Nawaz, during the meeting, said that the money would be distributed through Pakistan Poverty Alleviation Fund. Under the scheme each beneficiary would receive up to Rs50,000. To facilitate applicants, adequate loan and business support centres would be formed, she added.

She briefed the meeting on progress of other programmes of the PMYS.

She said training of selected youth in the PM youth skill development programme was initiated on May 12. In total 25,000 youth, of the lesser developed areas from all over the country, would be imparted training in 100 disciplines under the programme at a cost of Rs800 million. The allocation of seats is according to the population in the federating units, based on the National Finance Commission (NFC) award.

The basic aim of the scheme is to train youth in different vocation in order to make them self sufficient. Similarly, under the PM fee disbursement scheme approximately 33,000 eligible students of M. Phil and PhD from 59 districts will avail provision of tuition fee and other education charges.

The meeting was also informed that the company which had been given the contract to provide laptops had agreed to assemble 10,000 laptops in Pakistan. Therefore, from next year 100 per cent laptops which the government has planned to distribute among students will be assembled in Pakistan.

The company will establish E-education rooms in two universities of the country where 14 software will be installed free of cost. The distribution of laptops will start in June with first tranche of 10,000 laptops. The company will also offer internship to selected students.