SME lending hits Rs943bn as banks expand business credit
State Bank data show SME credit at Rs943 billion by June 2026, outpacing overall bank lending, while bad-loan ratios improved and the SECP floated higher micro and SME limits.
SME lending rose 33% year-on-year to Rs943 billion as of June 2026, per State Bank data.
Overall bank lending grew 14% in the same period, slower than SME credit.
Growth aligns with the SBP aim of Rs1.5 trillion in SME financing by June 2027.
The SME non-performing loan ratio fell to 11.7% in April–June 2026 from a 23% peak in July–September 2024.
Last month the SECP proposed raising limits on micro and SME loans.