Interest Free Financial Support for Artisans of Punjab to Promote Cottage Industry

Purpose

A revolving interest-free financial support scheme for artisans of Punjab to facilitate the establishment, strengthening, and expansion of cottage industry-based businesses. The scheme aims to preserve traditional handicrafts, promote cultural heritage, generate employment opportunities, and encourage self-employment through accessible and structured financing.

 

Eligibility Criteria

  • Artisans registered with PSIC through PSIC Geo tagging app
  • Resident of Punjab as per CNIC 
  • Must have a clean e-CIB / credit history
  • Having Valid CNIC
  • Having Age between 21-55 years
  • Defaulters and persons having poor track record of repayment in previous and ongoing PSIC loan schemes would not be eligible. (* Poor track record means person who had delayed repayment of 3 consecutive installments of loan.) 
  • Existing PSIC Borrowers who have paid 75% of the total loan amount in monthly installments as per repayment schedule would be eligible to obtain loan under this scheme but subject to satisfaction of Regional Director, concerned.

 

Loan Amount

  • Up to Rs. 500,000/-

 

Loan Tenure / Repayment

  • Up to 3 Years (in equal monthly installments)

 

Processing Fee

  • 2% of loan amount to be recovered before disbursement of loan

 

Security Requirements

  • One personal guarantee from a regular Government employee (BS-11 or above) with:
  1. Minimum 3 years of service
  2. At least 5 years remaining service
  • One employee can guarantee only one active loan at a time
  • Two blank undated signed cheques                        

 

Impact

  • Approx. 429 direct beneficiaries through revolving fund mechanism
  • Around 1200 total beneficiaries over scheme cycle
  • Rs. 150 million revolving fund supporting cottage industry development
  • Strengthening of traditional crafts and cultural industries in Punjab
  • Promotion of self-employment and small-scale entrepreneurship
  • Economic uplift of artisan communities through sustainable income generation



Download Application Form Here

Link

 

 

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