PM Youth Loan Scheme 2025: Apply Online for Interest-Free Business Loans in Pakistan
The PM Youth Loan Scheme 2025 has once again opened doors for thousands of young Pakistanis who dream of starting their own businesses. Through this government initiative, youth can now apply for interest-free and low-interest business loans to build their future. Whether you’re a graduate with a startup idea or a skilled worker wanting to expand your setup, the Prime Minister’s Youth Program aims to empower you with easy access to financing and financial independence.
What is the PM Youth Loan Scheme 2025?
The PM Youth Loan Scheme 2025, officially known as the Prime Minister’s Youth Businessand Agriculture Loan Scheme (PMYB&ALS), is a government-backed program launched under the leadership of Prime Minister Shehbaz Sharif. Its purpose is to empower youth financially by providing loans ranging from Rs. 0.5 million to Rs. 7.5 million, depending on the business type and category.
This scheme encourages self-employment and helps reduce job dependency by promoting entrepreneurship culture across Pakistan — from major cities like Lahore, Karachi, and Islamabad to smaller districts such as Dera Ghazi Khan, Gilgit, and Turbat.
Loan Categories and Markup Rates
The scheme is divided into three tiers, each offering different loan amounts and markup rates:
| Tier | Loan Amount | Interest/Markup Rate | Repayment Period |
| Tier 1 | Up to Rs. 0.5 million | 0% (Interest-Free) | 3 years |
| Tier 2 | Rs. 0.5 million to Rs. 1.5 million | 5% Interest | 5 years |
| Tier 3 | Rs. 1.5 million to Rs. 7.5 million | 7% Interest | 8 years |
The government also provides a grace period for initial months, allowing young entrepreneurs to stabilize their businesses before repayment begins.
WhatsApp ChannelEligibility Criteria for PM Youth Loan Scheme 2025
Before applying, make sure you meet the eligibility requirements:
- Applicant must be a Pakistani citizen with a valid CNIC.
- Age limit: 21 to 45 years (for IT and e-commerce sectors, minimum age is 18).
- Must have a business idea or be running an existing small setup.
- Both male and female entrepreneurs are eligible.
- Preference is given to students, freelancers, farmers, and unemployed youth.
How to Apply Online for PM Youth Loan Scheme 2025
You can apply easily through the official PM Youth Program portal. Here’s a simple step-by-step guide:
- Visit the official website: https://pmyp.gov.pk
- Go to “Business Loan” section.
- Click on “Apply Now” for the PM Youth Loan Scheme.
- Fill in the online application form with accurate details such as CNIC number, business idea, and bank preference.
- Upload necessary documents (CNIC, education certificates, business plan, etc.).
- Submit your application and note down the Tracking ID for future reference.
After submission, your application will be reviewed by the relevant bank (e.g., National Bank of Pakistan, Bank of Punjab, or Habib Bank Limited). You will receive a message or email once it’s approved.
Which Banks Are Participating in the Scheme?
The following banks are officially part of the PM Youth Loan Program 2025:
- National Bank of Pakistan (NBP)
- Bank of Punjab (BOP)
- Habib Bank Limited (HBL)
- Allied Bank
- Meezan Bank
- United Bank Limited (UBL)
- Askari Bank
- Bank Alfalah
- Zarai Taraqiati Bank Limited (ZTBL)
Applicants can select their preferred bank during the application process.
Documents Required for PM Youth Loan Application
To complete your online application, you’ll need:
- Valid CNIC
- Passport-size photograph
- Educational or skill certificates
- Business plan or feasibility report
- Bank account details (if available)
- Contact number and residential address
Make sure all your details are accurate to avoid rejection or delays.
PM Youth Loan Scheme for Women Entrepreneurs
The government has emphasized women’s financial inclusion in this scheme. At least 25% of total loans are reserved for female applicants, enabling women to start businesses in fashion, handicrafts, e-commerce, and small-scale industries.
This is a great step toward empowering women in both urban and rural areas, helping them contribute to household income and Pakistan’s economic growth.
Example: Real Pakistani Success Story
Take the example of Ali from Multan, who applied under Tier 2 of the PM Youth Loan Scheme last year. He started a small dairy business with Rs. 1 million and is now earning over Rs. 150,000 monthly. Similarly, Sara from Rawalpindi launched a home-based clothing brand after receiving an interest-free loan — now employing three local women.
These stories reflect how the scheme is transforming ordinary youth into successful entrepreneurs.
Common Reasons for Application Rejection
Many applications are rejected due to small mistakes. Avoid these:
- Entering incorrect CNIC or phone number
- Uploading blurry or incomplete documents
- Providing unclear business ideas
- Leaving mandatory fields blank
- Submitting multiple applications from the same CNIC
Benefits of PM Youth Loan Scheme 2025
- Encourages self-employment
- Promotes youth-led start-ups
- Supports agriculture, livestock, and IT sectors
- Creates job opportunities
- Reduces unemployment and poverty
- Offers interest-free financing for low-income families
FAQs – PM Youth Loan Scheme
Q1: Is PM Youth Loan Scheme still open for applications in 2025?
Yes, the online portal is active in October 2025, and applications are being accepted across all provinces.
Q2: Can I apply if I’m already running a business?
Yes, the scheme supports both new and existing businesses.
Q3: How long does it take for loan approval?
Usually, it takes 30 to 45 days after verification from the bank.
Q4: Is there any fee for applying online?
No, the entire process is free of cost.
Q5: Can women apply individually?
Yes, 25% of the loan quota is reserved for women entrepreneurs.
Conclusion
The PM Youth Loan Scheme 2025 is more than just a financial aid program — it’s a national movement to rebuild Pakistan’s economy through innovation, hard work, and entrepreneurship. Whether you are a fresh graduate, farmer, freelancer, or skilled worker, this scheme can help you achieve your dream of running a successful business.
Visit the official PM Youth Program website today and submit your application before the deadline.
