5 Lakh Loan without Interest in Pakistan | Apply Now

Recently, Prime Minister Shahbaz Sharif announced a 5 lakh loan without interest in Pakistan for people who belong to a low-income background and need money to invest in a business idea. This program is run under PPAF or Pakistan Poverty Alleviation Fund and is mainly announced to increase the revenue generated by the business industry across the country.

5 lakh loan without interest in pakistan

The funds under this scheme range between 50,000 and 5 lakh PKR. And anyone whose business is suffering from the crumbling economic condition of Pakistan is eligible for the loan payment.

Planning to apply for this program? Don’t waste more time and give this guide a quick read.

How to Apply for a 5 Lakh Loan without Interest in Pakistan?

The Prime Minister of Pakistan Shahbaz Sharif has introduced a new business scheme by the name of Ehsaas Bila Sood Program for young people who have a brilliant business idea, yet are unable to implement it because of economic restraints. This scheme was announced to accommodate the microfinance of new businesses within the country.

The good thing about this scheme is that it has a zero markup rate, which means no interest in the return of funds. The PM announced that the advertisement of this loan will be released by the PPAF within three weeks and any head of the family with a 40 or less poverty score can apply for this loan to run a business.

Likewise, according to the current policy, the loan amount can be used for starting a small business, expanding an already existing business, improving your housing condition, or financing education. It is estimated that this loan will be given to at least 1 million people across the country, given the not-so-good economic condition of Pakistan.

The loan application requires you to fulfill some basic prerequisites and submit some documents to the Loan Center. The entire process is monitored and overlooked by the designated banks. Hence, the return of funds is taken in installments and it is the primary responsibility of the bank to make sure the rapids are on time.

About the Ehsaas Bila Sood Qarz Loan Scheme

First of all, the interest-free nature of this loan scheme makes it affordable for people belonging to low-income strata of society. Having said that, anyone from anywhere across Pakistan can apply for the program as long as they fulfill the eligibility criteria, defined by the government of Pakistan. Here are some of the highlights of this loan scheme.

  • The five lakh loan without interest in Pakistan applies to anyone who has a poverty score under 40.
  • It encompasses all ages, including young entrepreneurs with brilliant business ideas and older business people who want a fund to run an industry. Apart from this, it also applies to people who want to build a home or get a car.
  • According to the announcement, almost 50% of the loans will be given to women.
  • Even if the aspirants of the Bila Sood loan are receiving financial assistance from any other scheme like Ehsaas Rahbar, Bait-ul-Mall, Zakat, or BISP Benazir Income Support, they are still eligible to apply for this loan.
  • People from low-income groups (including men, women, and people with disabilities) will be given preference during the assessment of loan applications.

Eligibility Criteria

Now, let’s discuss who can apply for this loan from Pakistan. Well, the application is open to all individuals and businesses who are currently suffering from the currently declining economic condition across the country. That said, here is a brief criterion for people who can apply for this Bila Sood Loan defined by the government of Pakistan.

  • The individual applying for a loan must be between the age of 18 and 60. This encompasses all young entrepreneurs and experienced businessmen.
  • The individual eligible for this interest-free loan must belong to a household with a poverty score between 18.5 and 40. If you are not sure about your poverty score, you can check it from the PPRP official website. The PPRP poverty scale uses some basic questions to evaluate your poverty score according to the government of Pakistan.
  • The candidates applying for the loan must have a valid CNIC number, registered by NADRA. This is a proof of your identification.
  • The candidates applying for the Bila Sood loan must be living in the targeted union council within their district. This will help the program distribute the funds properly to deserving applicants.
  • The candidates must provide an economically viable business plan to ensure they deserve the loan. This will prove the potential of your business plan to sustain income generation and long-term benefits.

Some Queries Regarding Eligibility Criteria

If you have already applied for some Ehsaas schemes and business plans, you must be wondering whether the Bila Sood Loan is applicable to you. The good news is that it is applicable to the majority of business people. Here are the answers to some asked questions.

  • Applicants that have a poverty score of 18.5 and have applied for Benazir Income Support BISP are eligible for this loan scheme.
  • Mostly, the preference is given to micro areas and districts (where the microfinance rate is especially below 12%).
  • Though there is no gender discrimination against applicants, it was recommended by PM Shahbaz Sharif this year that almost 50% of the loans will be provided to female borrowers.
  • There is no markup rate and beneficiaries can return the loan amount within a period of three years.

Documents/ Registration Information

You can easily get all the registration information regarding the loan from the official PPAF website. It has the application form available, along with an entire list of documents you need to attach with the form. All you need to do is type the loan name in the search box and download it. In case you have some queries regarding the application, visit the Union Council office in your district and get everything cleared.

Application Process for Ehsaas Interest-Free Loans in 2023

Here is a complete step-by-step process you need to follow to apply for a position and secure a place in the beneficiary list.

Get Consultation from the Nearest Loan Center

First of all, you need to visit your nearest loan center. Make sure to bring some basic documents like ID cards, income details, and other specific documents that are mentioned on their official website.

Go to the reception and tell them you are here for the loan application for Ehsaas Bila Sood. He/ she will guide you through the necessary steps you have to fulfill to get the application correctly.

Form Submission Stage

Now that you are clear about everything, it is time to fill out the registration form. You can get this form from the same reception. Carefully fill it out and make sure you have provided the correct and factual information. You also have to submit the required documents as directed by the consultant.

The information on the form is divided into four categories.

  • In the first category, you have to answer some basic questions regarding personal information, like ID number, name, father’s name, schooling, education, phone number, and so on.
  • Secondly, you will be required to enter business details, like the type of business, scale of business, name, details, years, and so on.
  • Next, you will be asked to enter information regarding the loan. For instance, what is the markup rate, return period, amount of loan, and loan application number. They will also require information about any previous loan scheme you have availed of under Ehsaas or by the Government of Pakistan.
  • Finally, you will have to give consent to the terms and conditions of the application.

Note: Always make sure to double-check the application once it is completely filled.

Verify Your Documents

The next step is to have your documents verified by the staff of the center. They will check whether all the documents you have provided are verified by the authorities. You may be called again to provide the documents and information, in case anything is missing.

Loan Assessment

The loan assessment will take some time (a week or two). During this time, they will assess your loan application and will make a decision unanimously based on your performance and standing on the list. Do note that there is no specific time for this period, and it may take more than usual time for the committee to review your application.

The question is who is more likely to get listed for the loan amount? Well, there is no simple answer. But we can still gather some ideas by reading and analyzing the eligibility criteria. Apart from the income background, economic status, and gender of the applicants, the business idea is something that can make you stand out in the crowd.

  • Make sure to get all the basic information you need to start a business.
  • You must have a clear idea of why you are starting a business. Is the sector or industry something you have expertise in? This can be a deciding factor for the final listing by the loan assessment committee.
  • Make a complete strategy to increase production and sales. You can also list out your possible and feasible goals for the future.
  • Likewise, having a marketing strategy can increase your chances of securing a place in the final listing.
  • You should also have an in-depth measurement of business expenses, so the committee knows that you are well aware of the business finances.
  • Finally, always set your profit estimates and make sure they are possible and practical to achieve.

Approval and Loan Distribution

Finally, after this time, your application will either be approved or rejected. After approval, you will be registered for the next stage, which is loan distribution. You will have to sign some documents to agree to the terms and conditions for them to process the payment. Now that all the formalities are over, you can get your loan money through either of the two processes.

  • First, you can get your interest-free loan cheques from the Ehsaas loan center which can withdraw them from any of the available banks, given by the government of Pakistan. Always bring your national CNIC card to the loan center and bank as proof of identification.
  • Or, you can get a PIN number from Ehsaas Loan Center and withdraw this money from the bank. Make sure to bring your PIN and original CNIC with you when you visit the loan center.

Please note that no one, apart from the beneficiary can receive the cheque or PIN number. So, make sure to visit the Loan Center yourself.

Banks Designated for 5 Lakh Ehsaas Interest-free Loans

Under the Ehsaas bila Sood loan, the Government of Pakistan announced that the distribution of the loan money will be done through some commercial banks. Likewise, the return of the Ehsaas funds will be monitored by the bank you will be affiliated with during the time. The repayments come under the responsibility of banks and are paid in installments.

Here is a list of all the banks, given by the Pakistani Government.

  • National Bank of Pakistan
  • First Women Bank Limited
  • SME Bank Limited
  • Bank of Punjab
  • Habib Metropolitan Bank
  • MCB Bank Limited
  • Khushhali Microfinance Bank
  • United Bank Limited
  • Faysal Bank Limited
  • Zarai Taraqiati Bank Limited

Last Date to Apply for Ehsaas Bila Sood Interest-Free Loan

As of now, the government of Pakistan has not yet released the advertisement for the Ehsaas Bila Sood loan. Hence, there is no clear announcement of the last date for this loan.

However, it is assumed that, like every year, it will be open for two months. So, make sure to follow the official Ehsaas website to keep a record of the advertisement and its deadline.

Helpline: Contact for Queries

In case you have some queries regarding the application process for an Ehsaas loan, here are some helpline numbers you can consult.

  • Phone Number: 051 8439450; 051 8439479
  • Fax Number: 051 2234343; 051 2234379
  • Email: [email protected]
  • Permanent Address: Plot No. 14, Street No. 12, G 8/1, Islamabad Pakistan.

Or, you can simply visit the nearest Ehsaas Loan Center to get a real-time consultant for guiding you through the application process.

Let’s Summarize the Entire five Lakh Loan 2023 Application Process Once Again

  • First, track the nearest Ehsaas Loan Center or a Union Council within your Tehsil and District. Get a consultant from reception and ask them to guide you about the eligibility.
  • Next, if you qualify for the loan scheme, fill in the registration form.
  • After this, a loan officer will visit your house or the office area to verify the information you have provided in the form.
  • The committee will assess your performance and application status to make the final decision. If your application is approved, authorities at Ehsaas Loan Program will contact you shortly.
  • The process can take around two to four weeks after your application is reviewed.
  • Finally, after the application is approved, you will be asked to visit the bank where you will sign the agreement of terms and conditions. They will either give you a loan cheque or pin code through which you can receive the loan amount.


How can we get a 5 lakh loan without interest in Pakistan?

PM Shahbaz Sharif has recently announced the five lahks interest-free loan in Pakistan. According to the announcement, you are required to submit the application form and documents to the nearest Union Council center. After this, the committee will assess your application and give a final decision.

Who is eligible to apply for the Ehsaas Bila Sood Loan Scheme?

An individual or head of the family from a low-income background, wanting to start a business is eligible to apply for the Ehsaas Bila Sood loan. The candidate must be between 18 and 60 years of age, with a poverty score of 40 or less. He/ she must also have a thorough business plan and a NADRA-authorized ID card.

How can I apply for a loan through the PPAF Loan Scheme?

Applying for the PPAF loan is no different from other loan applications. You have to go to the PPAF official website to check the eligibility criteria. Once you qualify, download the application form and submit it along with the required documents to the union council in your district. They will assess your application and make the decision.

Do I have to repay the Ehsaas fund money all at once?

No, you are not required to return the Ehsaas Bila Sood funds at the same time. The entire process is monitored by a designated bank, assigned by the government of Pakistan. The repayments are made in installments and banks are responsible to record repayments.


The recently announced Ehsaas Bila Sood Qarz 2023 is perfect for individuals who have a brilliant business idea or want to run an existing industrial setup. And applying to this loan scheme is a no-brainer, as long as you have understood the application process.

Finally, just a quick tip. Make sure to get all your documents in one place before you start registering for the application. This will save you so much time and effort.


  1. Hi sir I am small business man running general store in Faisalabad. Sir plz grant me the loan which is totally interest free app. 500000/- with the easy instalments for seven years. Thanks.

  2. Good project of government of pakistan.i need 5 Lak for developing my business.i have auto accessories business.

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