MUZAFFARABAD (Kashmir English): The Azad Jammu and Kashmir (AJK) government has officially opened applications for its newly approved interest-free loan scheme, aimed at supporting young entrepreneurs across the state.
The initiative allows eligible youth to apply for loans ranging from Rs 1 Lac to Rs 2 million to start or expand their businesses.
After the approval of Prime Minister Azad Kashmir Faisal Mumtaz Rathore, the Small Industries Corporation Department has issued an official advertisement for the applications.
According to the department, application forms can be downloaded from the official website of the Small Industries Department and must be submitted by January 20.
The scheme targets men, women, and transgender individuals aged 18 to 40 who are permanent residents of Azad Kashmir.
The loans will be distributed in proportion to the population, and no interest will be charged on them, while the Azad Kashmir government itself will pay the interest.
Loans under this scheme will be issued in collaboration with The Bank of Azad Jammu and Kashmir (BAJK).
Interest-Free Loan Amount
In collaboration with Small Industries Corporation and Akhuwat Islamic Microfinance, loans between Rs50,000 to Rs100,000 will be given to 72,000 individuals from 2025 to 2029.
The program exists to provide young people with self-employment possibilities to establish their financial independence.
Eligibility Criteria of Interest-Free Loan Scheme
A few conditions have been set to benefit from this facility. The applicant must be a resident of Azad Kashmir, and their age should be between 18 and 40 years.
A computerized national identity card is required, and the applicant must meet the criteria set by the financial institution.
Additionally, a personal guarantor will be needed, and the loan amount will be disbursed at the nearest mosque to the field office.
How to Apply for an Interest-Free Loan Scheme
The government has advised the public to take full advantage of this scheme and visit the Small Industries Board’s website sic.ajk.gov.pk for further details.
Economic empowerment represents a significant advancement through this initiative, which aims to foster self-employment and sustainable growth in small businesses throughout Azad Kashmir.
The government said that the move aims to provide business opportunities to youth in the state and make them economically self-sufficient.
