State Bank of Pakistan Introduces Zarkhez-e Platform to Enable Collateral-Free Agricultural Loans

The State Bank of Pakistan (SBP) has officially launched Zarkhez-e, a digital platform designed to provide collateral-free agricultural loans to small and marginalized farmers across Pakistan. The platform aims to revolutionize access to agricultural credit and support the government’s broader goal of promoting financial inclusion and sustainable rural development.

Previously known as the National Subsistence Farmers Support Initiative (NSFSI), Zarkhez-e has been developed under the Risk Coverage Scheme for Small Farmers and Underserved Areas. The initiative aligns with the Prime Minister’s vision to transform Pakistan’s agricultural landscape by improving access to finance for farmers in previously unserved or underserved regions.

According to a circular issued by the Agriculture Credit & Financial Inclusion Department (ACFID) on October 14, 2025, the new platform is a major step toward digitizing agricultural finance. It offers an end-to-end online solution that enables farmers and tenants to apply for agricultural loans directly through a centralized web portal, eliminating the need to visit bank branches or navigate complex paperwork.

Applications submitted via Zarkhez-e undergo verification and agronomic assessment through the Land Information Management System (LIMS) before being forwarded to the applicant’s chosen bank or microfinance institution for approval and disbursement.

One of the most innovative aspects of Zarkhez-e is its in-kind financing model. Under the system, at least 75% of loan value is disbursed in the form of essential agricultural inputs, such as seeds, fertilizers, pesticides, and diesel, through reputable agri-merchants integrated with the platform. The remaining 25% may be provided in cash to help farmers manage additional operational expenses.

The SBP has also emphasized the platform’s advisory component, under which farmers will receive agri-advisory services to improve crop yields and productivity. This ensures that financial access is accompanied by technical guidance for better farming outcomes.

Most commercial banks and microfinance banks (MFBs) have already integrated their systems with Zarkhez-e and LIMS, with others being encouraged to complete onboarding swiftly to enable a nationwide rollout. A standardized process flow has been introduced by the SBP to maintain consistency and ensure efficient implementation across the banking industry.

Under the financing scheme, small and marginalized farmers will also benefit from a 10% first loss coverage and an operational cost subsidy of Rs. 10,000 per borrower for any net increase in outstanding borrowers.

The SBP has urged all banks and MFBs to fully leverage Zarkhez-e to extend financial support to farmers, helping bridge the gap between traditional banking and the agricultural economy. This initiative not only enhances financial inclusion but also positions Pakistan’s agri-sector for a more resilient and technology-driven future.

Follow the SPIN IDG WhatsApp Channel for updates across the Smart Pakistan Insights Network covering all of Pakistan’s technology ecosystem.

Source

Hot this week

Karandaaz Partners With Kissan Gudam To Modernise Agricultural Ecosystem

Karandaaz Pakistan partners with Kissan Gudam to support farmers through modern storage, digital financial services and EWR-based financing.

Route2Health Goes Live With SAP FBR Integration For E-Invoicing

Route2Health has gone live with SAP FBR Integration through Business Line, enabling streamlined e-invoicing, reporting and regulatory compliance.

ZARR Sets New Daily Sales Record As Azaadi Campaign Gains Momentum

ZARR records 2,429 orders worth Rs12.2 million in one day as its Azaadi Sale delivers strong growth in orders and GMV.

Karandaaz Launches Assessment Of Women Economic And Digital Inclusion Portfolio 

Karandaaz Pakistan launches RFP-189 to assess asset utilization and early outcomes across its Women’s Economic and Digital Inclusion portfolio.

NCGCL And LUMS Partner On Pakistan Battery Swapping Finance

NCGCL and LUMS sign an MoU to support Pakistan Battery Swapping Network through credit guarantees and commercial financing for electric mobility.

Topics

Karandaaz Partners With Kissan Gudam To Modernise Agricultural Ecosystem

Karandaaz Pakistan partners with Kissan Gudam to support farmers through modern storage, digital financial services and EWR-based financing.

Route2Health Goes Live With SAP FBR Integration For E-Invoicing

Route2Health has gone live with SAP FBR Integration through Business Line, enabling streamlined e-invoicing, reporting and regulatory compliance.

ZARR Sets New Daily Sales Record As Azaadi Campaign Gains Momentum

ZARR records 2,429 orders worth Rs12.2 million in one day as its Azaadi Sale delivers strong growth in orders and GMV.

Karandaaz Launches Assessment Of Women Economic And Digital Inclusion Portfolio 

Karandaaz Pakistan launches RFP-189 to assess asset utilization and early outcomes across its Women’s Economic and Digital Inclusion portfolio.

NCGCL And LUMS Partner On Pakistan Battery Swapping Finance

NCGCL and LUMS sign an MoU to support Pakistan Battery Swapping Network through credit guarantees and commercial financing for electric mobility.

Swich Offers 14 Percent Azadi Discount At Insignia With JazzCash

Swich has announced an Independence Day promotion with Insignia...

Swich Offers 14 Percent Discount At Sugreve With JazzCash Payments

Swich is offering customers 14% off online orders at Sugreve when they pay using JazzCash through the Swich payment platform.

1LINK And Unified Payments Interface Explore Collaboration On Real-Time Payments

1LINK and UPI discuss opportunities for deeper collaboration, technical cooperation and product integration across digital and real-time payments.
spot_img

Related Articles

Popular Categories