Sunday Apr 26, 2020
Minister for Industries and Production Hammad Azhar announced that his ministry will be presenting a relief package for the small businesses affected by the coronavirus to the Economic Coordination Committee (ECC).
The minister shared that the package which will be presented tomorrow will be phase one being planned by the government to support small businesses to provide relief amid the pandemic lockdown.
“Millions of small businesses and industries shall benefit from this package once it is approved by ECC and Cabinet,” tweeted the minister.
Azhar also shared that ministry is also working on collateral-free financing for SME's under phase two of the relief package.
He added that under the second phase the government will target and prioritise relief measures for those sectors most affected by the by COVID-19.
Earlier this week, the ECC approved Rs75 billion for targeted payments to the low-income groups, especially labourers and daily wagers most severely affected by the lockdown in the country.
According to a statement released by the government on Wednesday, an estimated six million people are expected to benefit from the scheme in addition to the 12 million labour population already targeted through category Kifalat programme.
The amount was taken from the Prime Minister’s COVID-19 Relief Package of Rs 200 billion, disclosed the government.
The approval for the amount was given during an ECC meeting chaired by Adviser to the Prime Minister on Finance and Revenue Dr Abdul Hafeez Shaikh.
The Ministry of Industries and Production and the Poverty Alleviation and Social Sector Development Division (PASSD) were tasked to jointly work out comprehensive mechanisms and modalities to ensure a transparent and efficient disbursement of the support to the deserving people, the statement said.
It is pertinent to mention that last month, the federal cabinet had approved a Rs1.2 trillion economic relief package.