Refinance Scheme For Payment Of Wages/ Salaries to Workers/Employees of Businesses

To limit the adverse impact of the COVID-19 on businesses and employment in terms of payments of wages/salaries to workers/employees, the State Bank of Pakistan has introduced a temporary refinance scheme via conventional and Islamic channels. Through this scheme private organizations can borrow upto Rs. 500 million and pay the wages/salaries of their employees with easy repayment in 8 equal quarterly installments (starting from January 2021).


This scheme aims to finance wages and salaries for permanent, contractual, daily wagers as well as outsourced employees 

  • Scheme is for both existing as well as new customers
  • Time limit for submission of such request starts from April 2020 and ends on June 30, 2020
Category Wage Bill for 3 months Loan limit Maximum Financing  Limit 
A Less than or equal to 200 M 100% of 3 months wages  Rs. 200 M 
B More than 200 M and less than 500 M 75% of 3 months bill or 

Rs. 200 M whichever is higher

Rs. 375 M 
C More than 500 M  50% of 3 months bill of Rs. 375 M whichever is higher Rs. 500 M 


  • Tenor of financing – Repayment shall start from January 2021, and be made in 8 equal quarterly installments i.e. up to December 2022
  • Mark-up Rate – End User 5 % per annum
  • Rebate – Rebate of 1% p.a. will be allowed to those borrowers that are on active tax payers list 
  • Validity – June 30, 2020
  • Customer availing this facility will undertake not to lay off their workers/employees during first three months i.e. April 2020 to June 2020.