The Prime Minister Youth Loan Scheme 2025 is designed to support young people in Pakistan who want to start or grow their own business. This initiative provides easy loans with flexible repayment plans, so that talented individuals can build their future without worrying about high-interest rates or lack of resources.
In this article, you’ll find details about eligibility, loan categories, application process, and updates for 2025.
What is the PM Youth Loan Scheme?
Apply Now
The scheme is a government-backed program launched to provide financial help to young entrepreneurs. Through this, applicants can get loans at low markup rates. The main goal is to reduce unemployment and promote small and medium-sized businesses in Pakistan.
Key Features of the Scheme
| Feature | Details |
|---|---|
| Loan Amount | Rs. 0.5 million to Rs. 7.5 million |
| Age Limit | 21 to 45 years |
| Loan Tenure | Up to 8 years (with 1 year grace period) |
| Markup (Interest Rate) | Tier-based (starting from 0% to 7%) |
| Collateral | Not required for smaller loans |
| Purpose | Starting or expanding business, agriculture, IT projects, manufacturing |
Eligibility Criteria
To apply for the PM Youth Loan Scheme 2025, applicants must meet the following conditions:
- Must be a Pakistani citizen with a valid CNIC.
- Age between 21 and 45 years (18 years for IT and e-commerce sectors).
- Must have a business idea or an existing small business.
- Applicants from all provinces, including Gilgit Baltistan and AJK, can apply.
- Both men and women are encouraged to apply.
Loan Categories
The scheme offers three loan categories, also known as tiers:
| Tier | Loan Range | Markup (Interest Rate) |
|---|---|---|
| Tier 1 | Up to Rs. 0.5 million | 0% markup |
| Tier 2 | Above Rs. 0.5 million to Rs. 1.5 million | 5% markup |
| Tier 3 | Above Rs. 1.5 million to Rs. 7.5 million | 7% markup |
How to Apply for PM Youth Loan Scheme 2025
Follow these steps to apply online:
- Visit the official PM Youth Program portal: https://pmyp.gov.pk
- Select the “Loan Scheme” section.
- Fill in the online application form with:
- Personal details (CNIC, mobile number, etc.)
- Business information (idea, plan, or existing business)
- Bank selection
- Upload required documents.
- Submit the application online.
Once submitted, your application will be reviewed, and the bank may contact you for verification.
Required Documents
| Document | Purpose |
|---|---|
| CNIC | To verify identity |
| Educational Certificates | To support eligibility (if required) |
| Business Plan | Explains your idea and use of loan |
| Bank Account Details | For loan processing |
| Photographs | Passport-size recent photos |
Latest Updates for 2025
- Loan categories and markup remain the same as 2024.
- Special preference will be given to women entrepreneurs and projects in IT, agriculture, and green energy sectors.
- Online applications are the only method; no physical forms are accepted.
- Processing time has been improved to make disbursement faster.
Conclusion
The PM Youth Loan Scheme 2025 is a great opportunity for young people in Pakistan to turn their ideas into reality. With easy terms, low markup, and government support, this scheme encourages self-employment and business growth.
If you meet the eligibility criteria, apply online and take the first step toward building your own business.
Frequently Asked Questions (FAQs)
1. What is the PM Youth Loan Scheme 2025?
It is a government program that provides loans at low interest rates to help young people start or expand their businesses.
2. Who can apply for the scheme?
Any Pakistani citizen between 21 and 45 years old (18 years for IT-related businesses) with a valid CNIC can apply.
3. What is the loan amount range?
The loan amount starts from Rs. 0.5 million up to Rs. 7.5 million.
4. Do I need collateral to apply?
No, collateral is not required for smaller loans (Tier 1). For larger amounts, banks may ask for security.
5. What is the markup (interest rate)?
- Tier 1: 0%
- Tier 2: 5%
- Tier 3: 7%
6. How can I apply for the PM Youth Loan Scheme?
You can apply online through the official portal: https://pmyp.gov.pk. Fill the form, upload documents, and submit.
7. What documents are required?
- CNIC
- Educational certificates (if required)
- Business plan
- Passport-size photos
- Bank account details
8. Can women apply for this scheme?
Yes, women are strongly encouraged to apply. The government gives special preference to female entrepreneurs.
9. What is the repayment period?
The repayment period is up to 8 years, with a 1-year grace period.
10. Which sectors are preferred in 2025?
Priority is given to IT, agriculture, green energy, and women-led businesses.
✍️ Rana Shahriyar
Rana Shahriyar is a passionate blogger and digital content creator. He is the founder of 8171 Rashan Program, a website dedicated to sharing helpful tips and guides related to 8171 Web Portal,Govt.Scheme, and digital tools for everyday users in Pakistan.