PESHAWAR: The Khyber Pakhtunkhwa government on Friday launched an initiative to provide interest-free loans and internship opportunities to the youth.

Chief Minister Ali Amin Gandapur launched the Ehsaas Naujwan and Chief Minister Youth Internship programmes during a ceremony held at the Chief Minister’s House, according to a statement issued here.

Mr Gandapur also launched the Ehsaas Naujwan online portal, through which youth from across the province can apply online for interest-free loans to start their own businesses under the Ehsaas Nawjawan initiative.

On this occasion, a Memorandum of Understanding was also signed among the department of youth affairs, Bank of Khyber, and Akhuwat Microfinance Bank to implement the programme.

Gandapur says initiatives aim to empower people financially

The Ehsaas Naujwan programme, a three-year project, would be implemented at a cost of Rs3 billion.

Under the first component of this programme, interest-free loans worth Rs1 billion will be provided in partnership with the BOK. Under this component, clusters of three to five young men aged 18 to 35 will receive interest-free loans ranging from Rs1 million to Rs5 million.

The repayment period will span eight years, with the first 20-month as grace period, during which, no repayments will be required.

The second component of the programme would be implemented in partnership with Akhuwat Microfinance Bank at a cost of Rs2 billion. It will provide interest-free loans ranging from Rs100,000 to Rs500,000 for small-scale businesses to individuals aged 18 to 40.

A quota of 15 per cent has been reserved for young women, 2.5pc for differently-abled persons, 5pc for Madressah students and 2.5pc for minorities.

Notably, the Ehsas Naujwan programme will continue in the future as a revolving fund, allowing the amount repaid by beneficiaries to be made available to assist more youth for starting new business or expanding existing ones.

Additionally, the Chief Minister Youth Internship Programme will offer internships to 400 students annually, each lasting three months and providing a monthly stipend of Rs25,000.

Over three years, a total of 1,200 students will benefit from this programme. Young individuals aged up to 29 with 16 years of education or an equivalent degree recognised by the Higher Education Commission will be eligible. Upon completion, internees will be provided with employment opportunities in various public and private sectors.

Speaking on this occasion, Mr Gandapur said that party’s founder Imran Khan’s vision was to empower the people to stand on their own feet. He said the initiatives like Ehsaas Naujwan, Ehsaas Hunar, Ehsaas Rozgar, and Ehsaas Apna Ghar were practical steps towards realising that vision.

He said these initiatives aimed at providing loans for starting businesses and helping individuals to achieve financial independence.

Published in Dawn, November 9th, 2024