Overview
The support for electric vehicle production in the country comes as an interest-free loan scheme. Pakistan’s Economic Coordination Committee (ECC) has approved an interest-free loan program for electric bikes and rickshaws. The move is for the aim of encouraging electric vehicle production in Pakistan.
The meeting was conducted by the chairperson Federal Minister for Finance and Revenue, Senator Mohammad Ishaq Dar, and several other federal ministers were also attending the meeting.
This is a crucial step government has taken. Start the EVs production at a lower level is easy because Pakistan’s automotive industry has less resources to produce EVs in the country. Meanwhile, the government has allowed different relieves for the EV parts import for automakers to start manufacturing vehicles in the country.
Proposal for Interest-Free Loan
The Ministry of Industries and Production has submitted a proposal regarding financing facilities for Electric Bikes and E-Rickshaws. Under the Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB&ALS) the scheme has been approved by ECC.
As per the details of the scheme, the loan will be given to valid persons, and it is up to Rs 0.5 million at a 0% markup rate for repayment in three years. Under the scheme, the loan will be given to 15,000 e-bikes and rickshaws in the current financial year.
“The ECC directed that the Ministry of Industries and Production will work on the modalities with the coordination of PMYB&ALS”.
Conclusion
Pakistan is considered a highly polluted country. The most of pollution is occur from the carbon emission discharge from petrol engines. Meanwhile, petrol engine vehicles also become very expensive to run since the petrol prices are higher in the country. EVs are comparatively required cheap running costs than petrol and gasoline engines. The eligible person for the interest-free loan scheme can apply for the loan as the scheme is for 15,000 only for the current financial year.
