PM Youth Business & Agriculture Loan Scheme 2026: Tiers, Markup and How to Apply
PM Youth Business & Agriculture Loan Scheme offers loans up to Rs 7.5 million at 0%, 5% or 7%. Tiers, age limit, collateral, laptop loans and how to apply.
The Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB&ALS) offers young Pakistanis loans of up to Rs 7.5 million for business or farming: interest-free up to Rs 0.5 million, 5% markup up to Rs 1.5 million and 7% up to Rs 7.5 million. Applicants aged 21 to 45 (18 for IT and e-commerce) apply online at pmybals.pmyp.gov.pk. By June 2026, banks had disbursed 555,791 loans worth Rs 287.6 billion under the scheme, according to State Bank of Pakistan data.
Loan tiers and markup
| Tier | Loan size | Markup | Tenure | Collateral |
|---|---|---|---|---|
| Tier 1 | Up to Rs 0.5 million | 0% | Up to 3 years | Personal guarantee |
| Tier 2 | Rs 0.5 million to Rs 1.5 million | 5% | Up to 8 years (incl. 1-year grace) | Personal guarantee |
| Tier 3 | Rs 1.5 million to Rs 7.5 million | 7% | Up to 8 years (incl. 1-year grace) | As per bank’s credit policy |
Source: State Bank of Pakistan scheme page. Working capital loans in Tiers 2–3 run up to 5 years.
Who is eligible?
- Pakistani with a valid CNIC, aged 21 to 45.
- Minimum age 18 for IT and e-commerce businesses.
- For companies and partnerships, at least one owner, partner or director must be in the age bracket.
- New and existing businesses, and farming, are covered.
Own contribution (equity)
| Tier 1 | Tiers 2–3 | |
|---|---|---|
| New business | 10% | 20% |
| Existing business | None | None |
Equity can be cash or property and is required after the loan is approved.
Tier 4: laptop loans and overseas workers
| Laptop financing | Overseas workers | |
|---|---|---|
| Who | Students aged 18–30 at HEC-recognised institutions | Ages 21–45 with a valid job offer abroad |
| Amount | Rs 150,000, Rs 300,000 or Rs 450,000 (or actual cost if lower) | Up to Rs 1 million |
| Markup | 0% | 0% |
| Tenure | Up to 4 years | Up to 5 years |
| Security | Institution undertaking + family member’s guarantee | Family member’s guarantee |
How to apply online
- Go to the official portal, pmybals.pmyp.gov.pk.
- Fill in your CNIC, personal details, business or farm plan and the loan amount.
- Choose the bank and branch you want; the application is forwarded to that bank.
- The bank assesses your application and contacts you.
Scheme in numbers (to June 2026)
| Tier | Loans | Amount |
|---|---|---|
| Tier 1 | 471,371 | Rs 62.89 billion |
| Tier 2 | 20,622 | Rs 27.65 billion |
| Tier 3 | 63,797 | Rs 197.08 billion |
| Total | 555,791 | Rs 287.62 billion |
About 62% of loans by number went to agriculture and 38% to businesses. Source: SBP data tables, cumulative January 2023 to 30 June 2026.
Which loan should you choose?
If you are in Punjab and need up to Rs 1 million, compare with the province’s interest-free Asaan Karobar Card. For bigger amounts or if you live elsewhere in Pakistan, the PM Youth scheme is the main option. Tier 1 is interest-free and needs no collateral, which makes it a good start for a small business or farm.
Frequently asked questions
What is the age limit for the PM Youth Loan?
21 to 45 years; 18 for IT and e-commerce businesses; 18 to 30 for laptop loans.
Is any collateral needed?
No collateral for Tiers 1 and 2, only a personal guarantee. For Tier 3, security is decided by the bank.
Can students get a laptop loan?
Yes. Students aged 18–30 at HEC-recognised institutions can get interest-free laptop financing of Rs 150,000 to Rs 450,000.
Related: Scholarships and admissions · Asaan Karobar Card · Budget 2026-27
Sources: State Bank of Pakistan: PMYB&ALS; SBP data tables, June 2026; official portal pmybals.pmyp.gov.pk. Featured image: AI-generated illustration, for representation only.
