Agricultural loans in Pakistan reach Rs. 1.41 trillion in H1 FY26, marking a record surge in credit disbursements. This increase reflects strong demand for Pakistan agricultural loans, especially among small farmers in underserved areas. The growth supports digital farm lending and improves access to quality inputs through vendor networks.
The State Bank of Pakistan (SBP) reported that agricultural credit disbursements rose to 2.97 million borrowers. Initiatives like the Zarkheze platform enable digital onboarding, standardised credit assessment, and end-to-end loan monitoring. These steps make small-ticket lending commercially viable and enhance post-harvest liquidity.
Banks also implement the Risk Coverage Scheme and Crop Loan Insurance Scheme, providing farmers protection against losses. Provincial land record digitisation and fintech partnerships further strengthen outreach and improve loan traceability. Electronic Warehouse Receipt Financing is scaling up to reduce distress sales and connect farmers to market linkages.
FY26 growth follows a strong FY25, when agricultural loans reached Rs. 2.577 trillion, showing consistent macroeconomic stability and supporting real GDP growth. The Agricultural Credit Advisory Committee emphasizes expanding small farmer loans, enhancing accredited warehousing infrastructure, and ensuring timely financing.
Overall, Pakistan’s agricultural finance expansion plan is achieving its goal of inclusive growth. By combining technology-based solutions, digital farm lending, and risk coverage, farmers now access credit more efficiently. These efforts help strengthen the agriculture sector, boost productivity, and ensure resilience against calamities.
