The federal government is weighing two major proposals to support farmers devastated by recent floods: rescheduling loans or offering complete write-offs through Zarai Taraqiati Bank Limited (ZTBL), officials confirmed.
During a cabinet meeting chaired by Prime Minister Shehbaz Sharif, ministers recommended urgent relief for ZTBL borrowers, including waiving interest payments. The bank plays a critical role in financing Pakistan’s agriculture sector, which has been severely impacted by climate disasters and economic pressures.
Ministers raised alarms over wheat growers, who are still recovering from low crop prices during the 2024–25 season. Without immediate intervention, many may opt out of planting this year. While reviving the support price mechanism was suggested, officials cautioned against premature announcements that could benefit hoarders. They emphasized the need for direct farmer consultation before implementing any policy changes.
The cabinet stressed that agriculture and climate change fall under provincial jurisdiction and called for collaborative planning and funding. With limited federal resources, they urged that any emergency response be tied to a clear, actionable strategy addressing both short-term recovery and long-term climate resilience.
To move forward, members proposed convening the Pakistan Climate Change Council and forming a high-level committee to develop concrete solutions, factoring in rapid population growth and its strain on resources.