Karachi (PR): The implementation phase of Corporate Alliances by National Bank of Pakistan’s (NBP) for the Prime Minister Youth Business Loan Scheme started in November 2014. NBPtook the lead in this initiative by the Government for bringing socio-economic changes and creating a safe haven for the common man by establishing better economic opportunities. On May 21, 2015 NBP has signed its 9th MOU for the PMYBL Scheme partnering with Nestlé Pakistan and a dignified ceremony was held at Nestlé Pakistan Head office in Lahore.
Both the organizations shared the ultimate spirit of bringing prosperity to the under privileged class nation-wide. Parochial financing options in the past have excludedthe common man to venture into business ventures with pride and dignity. Hence, to uplift the financial position of the massesthereby ensuring economic sustainability, PMYBL scheme was designed and implemented as an effective development plan.
Under this arrangement both organizations will assist applicants with or without expertise but willingness to set up their own business who wish to be the vendors of Nestlé Pakistan. The focus will be on self-employment of the unemployed and under privileged youth within the age brackets of 21-45 years. The applicant has to be the existing vendor of Nestlé Pakistan with good credit history and sound credibility. NBP will assist in financial assistance to develop new or grow existing businesses.
The applicant has to be the resident of the same proximity intended for their businesses. Nestlé Pakistan will assist via providing continuous training to the vendors for maximizing output, quality assurance and optimum productivity in accordance with the highest standards. The financing will be provided by the PMYBL scheme and the training will be provided by Nestlé Pakistan’s CSV initiative through different programs run in accordance to the specific segments in the rural/urban areas.
This collaboration will assist the PMYBL scheme for generating opportunities of self-employment to the vendors of Nestlé Pakistan including cattle andfruit farming etc. Nestlé Pakistan’s vendor/farmer network will have increased productivity as the applicant’s business will be assisted by increased flow of capital through NBP’s PMYBL scheme.
The MOU was signed by the President National Bank of Pakistan Syed Ahmed Iqbal Ashraf and the Managing Director of Nestlé Pakistan Mr. Magdi Batato. Other representatives of NBP present at this MOU Signing ceremony were Mr. Mudassir H. Khan – SEVP & Group Chief, CRBG, Mr. S. H. Irtiza Kazmi – EVP &Head of Cash Management & PMYBL Coordination, CRBG, Ms. Nageen Rizvi – VP & Unit Head Marketing & Promotions PMYBL, CRBG. While Nestlé Pakistan was represented by Mr. John Davis – Head of Finance & Control, Mr. Waqar Ahmad – Head of Corporate Affairs, Mr. Naveed Khan – Head of Technical and Mr. Zeeshan Suhail – Public Affairs Manager.
The SEVP & Group Chief CRBG National Bank of Pakistan, Mr. Mudassir Khan stated that National Bank of Pakistan is committed to continue its financial services delivery to the food and agriculture sector.Pakistan is predominantly an agrarian economy, and NBP being the nation’s bank, has always continued its focus in this sector. According to a recent UNDP report the population of Pakistan is growing at 2% every year and agriculture is playing a crucial role in order to bear such an enormous population. More than half of the population of Pakistan i.e. 65% lives in rural areas and over 46% of the entire employment is delivered by the agriculture sector. Right now the sector is struggling in an operating environment due to little or no access to institutional credit. Consequently, they have to rely on unorganized channels for their credit requirements. Credit supply is imperative for a number of activities such as purchase of essential inputs, access to better quality materials, which results in increased production.
“Nestlé believes in the potential of the youth,” said Magdi Batato, Nestlé Pakistan CEO, adding, “This programme is one of many that we have that target the youth so that their potential can be realized and they can play their role in the development of the country.” He said that company had Rural Development programmes as part of its philosophy of Creating Shared Value through which farmers and livestock workers are trained to help them increase milk production, income and to ensure a better life. Nestlé Pakistan also introduced an Executive Certificate in the Agri-business Management in collaboration with LUMS,” he added.
Mr. S. H. Irtiza Kazmi, Executive Vice President and the Coordinator for PMYBL stated that social discord and political instability have disabled Pakistan to make progress in economic development. We have to learn from our experience and cultivate economic development projects through increased opportunities for the under privileged in the rural andurban sectors nation-wide. It’s high time we rise above our various differences to work towards aprosperous future forPakistan in general and for the youth of our nationin particular in order for us to survive and thrive in today’s globalized world. He further stated that Agriculture being the backbone of Pakistan’s economy has huge potential for improving efficiencies in both farm and non-farm areas. In this regard, PMYBL provides the perfect opportunity to the farmers forobtaining loans on easy commercial terms for improving yields and efficiencies, thereby not only enabling them to increase their cash flows but also investing back in a much more sustainable and robust business in the future.
Ms. Nageen Rizvi, Vice President & Unit Head Marketing & Promotions PMYBL stated that NBP shares the commitment of the Government towards uplifting the agriculture anddairy farmers and providing those opportunities of financial independence. The agriculture continues to remain an important sector of Pakistan’s economy. It can uplift the socioeconomic condition of Pakistan’s rural areas, therefore, needs special attention. We are targeting for a higher per capita income of people and increased GDP of Pakistan by increasing the employment anddevelopment opportunities in these sectors. Higher per capita income will lead to better way of living of people, more approach to basic needs, quality health facilities, better education and hence strengthening the economic development. We believe that this association with Nestlé Pakistan will bring a vigorous change in the agri sector and will provide further opportunities to the prospective unemployed youth.
Nestléis the world’s leading nutrition, health and wellness company. “Good Food, Good Life” is the promise they commit. Nestlé Pakistan has been operative in Pakistan for more than 2 decades with world class international standards, producing in Pakistan, products targeted at Pakistan consumers,byPakistanis.They engage more than a million individuals throughout their value chain from farm to fork. Their strong brands are synonymous of “quality”, “responsible sourcing”, “good taste” and “value for consumers”. Nestlé Pakistan as a company symbolizes “Creating Shared Value” component to as many businesses as possible in line with their dairy products, setting up milk collection centers anddealing with around 200,000 farmers.
Nestlé Pakistan’s commitment to Rural Development is their biggest area of focus. Nestlé collects milk from 190,000 dairy farmers with 3,500 milk collection and 3,300 chilling centres. As part of their Rural Development programs they interact with communities, particularly farmers, who are part of their dairy value chain in Pakistan. Nestlé Pakistan is training dairy farmers and livestock workers to help them increase milk production, income and to ensure a better life.Nestlé Pakistan has been extending support to improve existing academic facilities for research and development, student support programs, refurbishment of schools, establishment of drivers’ training institutes, training of mango growers to help increase the yield and the quality of the Chaunsa mango and an Executive Certificate Programme for skilled professionals in the agri-business sector.