Prime Minister Shehbaz Sharif has said Pakistan’s fuel subsidy programme has registered more than 10.8 million citizens, with Rs75 billion allocated to support eligible recipients facing fuel costs.
Separately, he has directed commercial banks and relevant institutions to speed up housing, small business and agricultural loan disbursements, citing delays between approved financing and payments reaching applicants.
The two initiatives are aimed at providing financial support to households and expanding access to credit for people seeking housing, business and agricultural financing.
The latest figures, shared during government meetings, show progress in registrations and lending but also highlight the gap between announced financing targets and actual disbursements.
Fuel Subsidy Programme Issues 27 Million Tokens
Speaking at a ceremony recognising the officials involved in implementing the fuel subsidy scheme, Shehbaz praised federal and provincial governments for coordinating the programme despite challenges during its planning and rollout.
Figures presented at the event showed that approximately 27 million subsidy tokens had been issued, of which around 19.4 million had been redeemed to purchase fuel at subsidised rates. Nearly 9.2 million citizens had used the tokens more than once.
Motorcyclists account for about 96% of the programme’s beneficiaries. Other eligible groups include rickshaw and Qingqi operators and owners of cars with engine capacities of up to 800cc.
The prime minister estimated that the scheme was benefiting around 50 million people directly or indirectly, based on an average household size of five. This is an estimate of the programme’s wider household reach, rather than a count of individually registered beneficiaries.
Shehbaz acknowledged the contributions of provincial governments, chief ministers, federal ministers and the institutions involved in implementation. These included the Petroleum Division, Oil and Gas Regulatory Authority, State Bank of Pakistan, National Database and Registration Authority, Pakistan Telecommunication Authority and telecommunications companies.
He also announced that Information Technology Minister Shaza Fatima Khawaja would receive a national award in March for her contribution to the initiative. Other officials involved in implementing the scheme would receive shields, he said.
The prime minister also appreciated Deputy Prime Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb and Planning Minister Ahsan Iqbal for their roles in the programme.
Apna Ghar Programme Faces Loan Disbursement Gap
In a separate meeting with the heads of leading commercial banks, Shehbaz Sharif directed financial institutions to ensure that approved loans reach eligible applicants without unnecessary delays.
Officials informed the meeting that housing loans worth Rs426 billion had been approved under the Apna Ghar Programme. However, only Rs76 billion had been disbursed against a financing target of Rs700 billion intended to support the construction and provision of 125,000 housing units.
The difference between approved and disbursed financing is significant. Loan approval indicates that financing has been authorised, while disbursement means the money has actually been released. The figures presented at the meeting suggest that much of the approved housing financing had yet to reach its intended stage of payment.
The prime minister directed the State Bank of Pakistan to simplify approval and disbursement procedures so eligible applicants could access funds more quickly. Consultations are also under way to develop a framework that would make it easier for housing developers to obtain financing.
Meeting the programme’s targets will depend not only on approving loans but also on resolving procedural obstacles that delay payments and housing projects.
SME Financing Target Raised to Rs1.5 Trillion
The government also plans to expand financing for small and medium-sized enterprises, which rely on credit to fund operations, purchase equipment and grow their businesses.
According to figures shared at the meeting, loans worth Rs1.137 trillion had been extended to approximately 350,862 SMEs. The government aims to increase total SME financing to Rs1.5 trillion and expand the number of beneficiaries to 565,000 by June 2027.
These targets would require both an increase in the total volume of lending and wider access to financing among eligible businesses. The figures provided at the meeting do not, however, establish how much of the additional lending has already been committed or how quickly the remaining target will be achieved.
Agricultural Loans Reach Rs1.352 Trillion
Agricultural financing reached Rs1.352 trillion by the end of September 2026, benefiting approximately 3.45 million people, officials told the meeting.
The government plans to raise agricultural lending to Rs1.5 trillion and extend financing to 4.5 million farmers by June 2027.
Access to agricultural credit can help eligible farmers finance inputs and other production needs, although the practical impact depends on loan terms, eligibility requirements and timely disbursement.
Shehbaz Sharif stressed that approved financing should reach its intended recipients without avoidable delays. Progress towards the housing, SME and agricultural targets will depend on whether banks and relevant institutions can improve processing and ensure that eligible applicants receive the funds.
The government’s next test will be translating these allocations and lending targets into timely financial support for households, businesses and farmers.
