Pakistan’s Interest Free Loan Scheme Gets Global Recognition
Pakistan’s Interest Free Loan Scheme Gets Global Recognition: The Interest Free Loan Scheme (IFLS), devised by the government of Pakistan in an effort to alleviate poverty has been recognized worldwide. It has been rated as one of the most effective tool in fighting the risk of poverty and enabling the poor to earn a decent livelihood. This news was shared by PM Shahid Khaqan Abbasi in a meeting at Prime Minister Office (PMO) Islamabad.
He said that an amount of Rs9.7 billion has been disbursed so far under the Interest Free Loan Scheme (IFLS) program with 409,805 loans to 401,120 individuals including 64% female borrowers. These loans are given across the country including Fata, AJK and Gilgit-Baltistan as well. He further claimed that 99% recovery rate was another manifestation of the success of the interest free loan scheme.
The meeting took place at Prime Minister Office to review the progress of Prime Minister’s Interest Free Loan Scheme. It was attended by senior officials while among others Dr Amjad Saqib, Chairman Steering Committee PMIFL, Qazi Azmat Isa, CEO Pakistan Poverty Alleviation Fund (PPAF), Ms. Simi Sadaf Kamal were also present.
Role Of Pakistan Poverty Alleviation Fund (PPAF)
The role of Pakistan Poverty Alleviation Fund (PPAF) towards implementation of the IFLA in a transparent and effective manner was appreciated by Shahid Khaqan Abbasi. He said that helping the needy sections of society has remained the foremost priority of the current government and the every possible effort to enhance the scope and reach of the program through greater financial allocations will uninterruptedly continue.
Interest Free Loan Scheme (IFLS)
In Interest Free Loan Scheme, 50% of loans are given to women borrowers while the tenure of loan is up to 3 years while ranging from Rs.250, 000 loans of Rs.25, 000 averages (upto RS 50,000). Merit based loan scheme with 0% interest is created to support deserving, unemployed, poor and skilled men and women of the country.
IFLS was launched in 2013, has left a strong impression on the socio-economic landscape of the country. It has a wide range of segments such as poverty alleviation, entrepreneurship development, skill development and internship opportunities for the talented youth. The Scheme is aimed at ensuring that poor segment of society get good employment opportunities and secures economic empowerment while obtaining skills needed for beneficial employment through free vocational training programs.