The Government of Punjab has introduced the CM Punjab Asaan Karobar Card, an initiative aimed at empowering small entrepreneurs by providing interest-free loans of up to PKR 1 million. This digital SME card facilitates transparent financial transactions through mobile apps and point-of-sale (POS) systems.
Key Features of Asaan Karobar Card
Loan Amount and Duration
- Maximum Loan Limit: PKR 1 million
- Loan Tenure: 3 years
- Repayment Structure:
- First 12 months: Revolving credit facility
- Next 24 months: Repayment in equal monthly installments
- Grace Period: 3 months from card issuance
Usage of the Loan
Funds can be utilized for:
- Payments to vendors and suppliers
- Settlement of utility bills, taxes, and government fees
- Digital transactions through POS and mobile apps
- Cash withdrawals (up to 25%) for business-related expenses
Eligibility Criteria
To apply for the Asaan Karobar Card, applicants must:
- Be Pakistani citizens residing in Punjab
- Have a valid CNIC and a registered mobile number
- Own or plan to start a business in Punjab
- Be between 21 and 57 years old
- Have a clean credit history
- Pass the psychometric and credit assessment
Note: Only one application per individual and business is allowed.
Application Process
How to Apply?
- Submit applications online via the Punjab Information Technology Board (PITB) portal.
- Pay a non-refundable processing fee of PKR 500.
- Digital verification of CNIC, credit status, and business premises will be conducted.
Loan Usage and Repayment Details
- Initial 50% Limit: Released within the first 6 months
- Remaining 50% Limit: Released after satisfactory loan utilization and registration with Punjab Revenue Authority (PRA) or Federal Board of Revenue (FBR)
- Repayment Plan:
- After 3-month grace period, borrowers must pay 5% of the outstanding balance monthly.
- The remaining balance after 1 year is repaid in equal monthly installments over 2 years.
Permissible and Restricted Uses
Allowed:
✅ Business transactions and vendor payments
✅ Utility bills, government fees, and taxes
✅ Digital POS and mobile app payments
Not Allowed:
❌ Personal expenses
❌ Non-business-related transactions
Charges and Fees
- Annual Card Fee: PKR 25,000 + Federal Excise Duty (FED) (deducted from the credit limit)
- Late Payment Charges: As per the bank’s schedule of charges
- Life Insurance & Card Issuance Fees: Covered under the scheme
Security Measures
- Personal guarantee digitally signed by the borrower
- Life assurance for financial security
- Physical verification of business premises by The Urban Unit
Mandatory Business Registration
To ensure transparency and economic compliance, borrowers must register with PRA or FBR within 6 months of receiving the card.
Additional Support for Applicants
The Punjab Small Industries Corporation (PSIC) and Bank of Punjab (BOP) provide feasibility studies to assist new startups and small businesses.
Helpline and Support
For queries or assistance, contact the official Punjab Government Helpline: 1786.
Conclusion
The CM Punjab Asaan Karobar Card is a revolutionary step towards economic empowerment by providing interest-free financial support to small businesses. With a structured digital repayment system, it ensures responsible and effective utilization of funds, contributing to Punjab’s economic growth.