Pakistan is home to 8.2 million farm families responsible for meeting the basic food & nutrition requirement of an estimated population of 229.50 million (World Bank, 2022). The agriculture sector plays a vital role in Pakistan’s economy by contributing 19.31% to the GDP and providing employment to nearly 36% of the total labour force (Pakistan Economic Survey). Approximately 64% of the country’s population resides in rural areas and is employed directly or indirectly in agriculture for their livelihood.
At present, 90% of the overall farmers (7.4 million) are categorised as small farmers and are considered the backbone of the agriculture sector, contributing to national food security and export earnings. However, over the recent years, the size of small farms has decreased (from 1 hectare in 1972 to 0.8 hectares in 2010) due to a lack of access to bank financing, quality farm inputs, extension services, and fair access to the market (Dawn News, 2021).
Realising the importance of small farmers in the agriculture sector, the incumbent government needs to implement effective measures to increase their productivity, marketable surplus, household incomes, and living standards. The government should focus on better-designed credit policies, support farmer-friendly extension services, encourage the use and proliferation of modern technologies, and seek scientific inputs to revolutionise Pakistan’s agriculture and rural economy. Furthermore, it is necessary to focus on the needs of small farmers and provide access to formal credit to empower them.
For this purpose, the Bank of Punjab launched its first indigenously developed Digital Kisan Portal. The initiative aims to emphasise the impending need to digitise the onboarding of agriculture clients, which involves account opening and credit applications, which will bring more efficiency and enhance the bank’s outreach. Furthermore, it will increase farmers’ capacity and ability to reach out to the bank from where they are through a smartphone or laptop or tablet. In conclusion, this initiative is highly beneficial and will empower small farmers.
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