Loans amounting to Rs1800bn will be provided to farmers: PM Shehbaz Sharif

ISLAMABAD, Oct 31 (SABAH): Prime Minister Shehbaz Sharif on Monday unveiled Kissan package for farmers after heavy rains and subsequent floods hit the agriculture sector.

Addressing a press conference alongside other federal ministers, PM Shehbaz Sharif said the government would provide loans worth Rs1800 billion to the farmers for the ongoing fiscal year 2022-33. Giving details of the Kissan package, the Prime Minister noted that the markup on the loans, provided to farmers from flood-affected areas, has been waived off and the government has allocated nearly Rs11 billion in this regard.

The premier further said that the federal and provincial governments would also provide more than Rs8 billion to small farmers in flood-affected areas. He also announced loans worth Rs50 billion to youngsters living in rural areas who are willing to become professional farmers. “The loans to youngsters would be provided on a markup less than the market rate and the government will set aside nearly Rs6.5 billion for this venture,” he added.

He said that Finance Minister Ishaq Dar will oversee the Kissan package and ensure the distribution of loans to the farmers, pointing out that commercial banks usually avoid giving loans to small farmers and entrepreneurs and look for secure investments.

PM Shehbaz Sharif also announced to import second-hand tractors in a bid to end monopoly of the tractor industry. He noted that the tractors locally manufactured in Pakistan cannot be exported because of the ban imposed.

In this regard, PM Sharif said, he and Ishaq Dar tried to end the monopoly of the tractor industry but the stakeholders refused to cooperate with the government. “In wake of the situation, the government has decided to import second-hand tractors,” he added.

“The government has decided to import up to five years old second-hand tractors (with proper certification) in order to help farmers who cannot afford the locally-manufactured tractors,” he added. The premier also announced that a 50 percent rebate on duty will also be given to those importing these second-hand tractors, 36pc rebate on three-year-old tractors, and the concession rates will be calculated accordingly.