KARACHI: Meezan Bank and Karandaaz Pakistan have signed a Corporate Vendor and Distributor Finance Programme aimed at providing growth capital for small businesses.

Through this agreement, up to Rs9 billion in programme-based term funding for capital investment and expansion working capital would be made available to small and mid-size vendors and distributors.

SME financing in the country has declined sharply from 17 per cent of total commercial bank lending in 2008-09 to 6pc by 2014-15.

“Pakistan’s economy is highly dependable on the pace and productivity of SMEs. Ensuring access to finance by SMEs will allow them to modernise their production techniques, hire skilled human resources and invest in new equipment. They will be able to reposition themselves to earn more profits and expand their businesses,” said Dr. Ishrat Husain, chairman of the Board of Directors at Karan­daaz Pakistan, in his keynote address.

Published in Dawn, October 8th , 2015

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