Over 10 million benefit from fuel subsidy, PM says

Prime Minister Shehbaz Sharif has praised the federal and provincial governments and relevant institutions for implementing the fuel subsidy programme, which has registered more than 10.8 million citizens. He said the initiative would continue, with Rs75 billion allocated to support eligible people facing fuel costs.

Speaking at a gathering held to recognise the efforts of ministers and officials, the prime minister said the scheme had encountered challenges during its planning and implementation stages. However, coordination among government departments and provincial administrations had helped expand its reach.

According to figures shared at the event, around 27 million fuel subsidy tokens have been issued, of which approximately 19.4 million have been redeemed to purchase fuel at subsidised rates. Nearly 9.2 million citizens have used the tokens more than once.

Motorcyclists account for around 96 per cent of the programme’s beneficiaries. Other eligible groups include rickshaw and Qingqi operators, as well as owners of cars with engine capacities of up to 800cc.

Shehbaz estimated that the scheme was benefiting around 50 million people directly or indirectly, based on an average household size of five. He acknowledged the cooperation of provincial governments and chief ministers, along with federal ministers, officials and institutions involved in the programme.

The prime minister announced that Information Technology Minister Shaza Fatima Khawaja would receive a national award in March in recognition of her contribution to the initiative. Other officials who played a role in implementing the scheme would also receive shields.

He appreciated the efforts of Deputy Prime Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb, Planning Minister Ahsan Iqbal and other officials. He also recognised the contributions of the Petroleum Division, Oil and Gas Regulatory Authority, State Bank of Pakistan, National Database and Registration Authority, Pakistan Telecommunication Authority and telecommunications companies.

Separately, Shehbaz Sharif has directed commercial banks and relevant institutions to accelerate loan disbursements under housing, small business and agricultural financing programmes. He stressed that approved loans should reach eligible applicants without unnecessary delays.

Chairing a meeting with the heads of leading commercial banks, the prime minister was informed 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 aimed at supporting the construction and provision of 125,000 housing units.

Shehbaz expressed concern over the gap between loan approvals and actual disbursements. He directed the State Bank of Pakistan to simplify the approval and payment process to help applicants access financing more quickly. Consultations are also under way to develop a framework that would make it easier for housing developers to obtain funds.

The meeting was further informed that loans worth Rs1.137 trillion had been extended to approximately 350,862 small and medium-sized enterprises (SMEs). The government aims to increase SME financing to Rs1.5 trillion and expand the number of beneficiaries to 565,000 by June 2027.

Agricultural financing has also increased, reaching Rs1.352 trillion by the end of September 2026. The lending has benefited around 3.45 million people. The government plans to raise agricultural loans to Rs1.5 trillion and extend financing to 4.5 million farmers by June 2027.