PBIT chief outlines plans to position Punjab as regional hub for trade

LAHORE: Muntaha Ashraf, Chairman of the Punjab Board of Investment and Trade (PBIT), has unveiled an ambitious strategy to reinvigorate Punjab’s economy by prioritizing small and medium enterprises (SMEs), attracting global investment, and integrating sustainable practices into key industries.

During an exclusive discussion, Ashraf outlined plans to position Punjab as a regional hub for trade and innovation through institutional reforms, sector-specific partnerships, and eco-friendly industrial upgrades.

Ashraf underscored SMEs as central to Punjab’s economic transformation, citing their contribution of over 40% to Pakistan’s GDP and employment of 80% of the non-agricultural workforce. The PBIT aims to establish more than 500 new SMEs in collaboration with foreign investors, coupled with legislative reforms to streamline regulations, improve access to finance, and introduce tax incentives. “Our goal is to create an ecosystem where local entrepreneurs and international investors build sustainable businesses together,” Ashraf stated, emphasizing that reducing bureaucratic hurdles and enhancing credit access are critical to unlocking the sector’s potential.

Highlighting Punjab’s dominance in agriculture (68% of national output) and livestock (71%), Ashraf called for foreign partnerships to modernize these sectors through technology transfers and value-added production. “From agro-processing to dairy and meat exports, Punjab offers untapped opportunities,” he said.

The chairman also spotlighted Punjab’s industrial cities as engines of export growth.

Punjab’s industrial cities—Faisalabad, Gujranwala, Sialkot, and Gujrat—drive Pakistan’s export growth through sector-specific specialization, innovation, and global competitiveness.

Faisalabad which is the textile sector, contributing over 50% of national textile exports. Recent investments in technology and value-added products like garments, home textiles, and denim have enhanced its global market share. By shifting from raw cotton to finished goods, Faisalabad captures higher profit margins, meeting demand from the EU, US, and Asia.

Gujranwala thrives in electrical goods (fans, switches) and ceramics (tiles, sanitary ware). Its SME-driven manufacturing ecosystem produces cost-effective, mid-tier products, catering to regional markets in Africa and the Middle East. Upgraded production techniques and certifications (e.g., ISO) have improved quality, positioning it as a hub for affordable electrical exports.

Sialkot dominates niche global markets, supplying 70% of the world’s hand-stitched soccer balls and 50% of surgical instruments. Clusters of small firms leverage craftsmanship and certifications (e.g., FIFA, FDA) to serve premium markets. Strategic partnerships with global brands and e-commerce integration have expanded its reach, making it a model of export-led growth.

Gujrat which is known for furniture, ceramics, and plastics, relies on small-scale industries. With innovation in design and automation, it can transition from low-cost goods to value-added exports. Potential lies in eco-friendly products and digital marketing to tap into global artisan and home décor markets.

Collectively, these cities diversify Punjab’s export portfolio, reducing reliance on single sectors. Clustering fosters supply chain efficiencies, skill development, and foreign investment. Government initiatives, like export incentives and SEZs, further amplify their impact. By combining traditional expertise with technological upgrades, these cities enhance Pakistan’s export resilience, positioning Punjab as the cornerstone of the nation’s economic growth.

In essence, their specialization, adaptability, and global linkages transform Punjab into a dynamic export engine, vital for Pakistan’s trade ambitions.

A key pillar of Ashraf’s strategy involves equipping textile SMEs with sustainable technologies like laser and ozone systems to reduce water and chemical use. “Adopting eco-friendly practices isn’t just ethical—it’s a competitive necessity to access global markets,” he asserted, linking sustainability to enhanced export opportunities.

To bolster investor confidence, the PBIT is undergoing institutional reforms, including digitized services, a one-window facilitation centre, and staff training aligned with international standards. “We’re transforming PBIT into a dynamic institution that anticipates investor needs,” Ashraf explained, aiming to position Punjab as South Asia’s top foreign direct investment (FDI) destination.

Chairman of the Punjab Board of Investment and Trade (PBIT), Muntaha Ashraf, revealed that Chief Minister Maryam Nawaz Sharif approved the landmark allocations to empower entrepreneurs across the province. “Under the Punjab Easy Business Finance Scheme, over Rs 36 billion will be disbursed as interest-free loans, with each eligible beneficiary receiving up to Rs 1 million,” Ashraf stated.

The Punjab Easy Business Card Scheme, backed by Rs 48 billion, will provide subsidized credit facilities to help businesses manage operational costs and cash flow challenges. Both schemes are part of the provincial government’s broader strategy to foster an inclusive entrepreneurial ecosystem.

Ashraf called these programs them a historic step toward financial inclusion and economic resilience.“

He highlighted that the interest-free loans under the Finance Scheme would prioritize underserved communities, while the Business Card Scheme would streamline access to affordable credit for traders and startups.

The PBIT chairman confirmed that robust digital mechanisms will ensure transparency and efficiency in loan distribution, with applications expected to open in the coming months. The schemes are projected to significantly reduce unemployment and drive industrial growth, marking Punjab’s largest-ever investment in small and medium enterprise (SME) support.

“CM Maryam’s policies reflect a visionary understanding of Punjab’s economic DNA,” he remarked.

Concluding with an optimistic outlook, Ashraf envisioned Punjab as a regional trade and industry hub, urging stronger public-private partnerships and investments in infrastructure and education. “This is Punjab’s moment to shine. By empowering SMEs and embracing global collaboration, we’re building a prosperous, sustainable future,” he declared.

With these measures, the Punjab government signals a bold shift toward economic modernization, leveraging its agrarian and industrial strengths to spur grassroots entrepreneurship and global competitiveness.

Copyright Business Recorder, 2025