• Directs Smeda to expand access to business loans, prepare feasibility studies in local languages
• Orders audit of Daanish IT Park, urges collaboration with global technology firms

ISLAMABAD: Prime Minister Sheh­baz Sharif on Monday directed the auth­orities to increase financing for small and medium-sized enterprises (SMEs) from Rs1.1 trillion to Rs2.2tr by 2028, citing their potential to drive economic growth and create business opportunities across the country.

Presiding over a meeting on the Small and Medium Enterprises Development Authority (Smeda), the prime minister said the business community was the backbone of any country’s economy, while Pakistan’s SME sector had imme­nse potential to accelerate economic dev­elopment, according to a press release issued by the Prime Minister’s Office.

He said ongoing reforms at Smeda ai­­m­­ed to empower small and medium-siz­­ed entrepreneurs and facilitate the esta­blishment and expansion of businesses.

The prime minister emphasised the need to empower people in underdeveloped areas, saying this would help red­uce migration to major cities and contribute to balanced national development.

PM Shehbaz directed Smeda to formulate a comprehensive plan to educate more people about the procedures for obtaining business loans and take effective measures to raise awareness about entrepreneurship.

Feasibility studies

He also instructed the authority to commission feasibility studies for setting up SMEs in various sectors with the help of relevant industry experts and make them available in local languages. The initiative, he said, would enable aspiring entrepreneurs across the country to benefit from the studies.

During the meeting, the prime minister was briefed on ongoing reforms at Smeda and measures to promote the SME sector.

The meeting was informed that Smeda was being transformed into a central platform to train aspiring entrepreneurs and facilitate their access to bank financing for setting up businesses.

Smeda offices were being established across the country to improve outreach and access to services, while the authority was developing an artificial intelligence-based helpline to provide information and guidance to citizens in local languages. The meeting was also informed that a memorandum of understanding had been signed between global e-commerce company Alibaba and Smeda under which 10,000 SMEs would receive training over two years.

Officials said reforms were also under way to improve the effectiveness and user-friendliness of Smeda’s digital portal.

Daanish IT Park

At a separate meeting, PM Shehbaz directed the authorities concerned to develop the Daanish IT Park Islamabad into a world-class technology hub and a centre for a modern IT ecosystem through effective collaboration between academia and industry.

He said the government would continue efforts to equip Pakistani youth with modern skills in information technology, artificial intelligence and financial technology, while creating new opportunities for IT entrepreneurs.

He instructed the Ministry of Information Technology to conduct a comprehensive case study of the project and directed the authorities to make the IT park operational in partnership with global technology companies. He also ordered a third-party audit of the project.

The meeting was briefed on plans to create a comprehensive ecosystem to boost IT exports and promote investment in the sector. It was informed that 50 privately owned buildings had been upgraded into software technology parks under the Pakistan Software Export Board.

Additionally, eight incubation centres had been established across the country to support start-ups, while 105 co-working spaces were operational to facilitate IT professionals.

Participants were told that global technology companies were being approached to help operationalise the Daanish IT Park Islamabad.

Published in Dawn, October 13th, 2026