On February 18, 2026, the federal government of Pakistan announced a 10% first-loss credit guarantee for commercial banks participating in the Prime Minister’s Fan Replacement Program (PM FRP), aimed at enhancing energy efficiency and reducing electricity consumption. This initiative allows for loans ranging from Rs. 10,000 to Rs. 300,000, with repayment periods between 6 to 18 months. The State Bank of Pakistan (SBP) will absorb the first 10% of losses on loans, encouraging banks to finance these energy-efficient appliances. Federal Minister for Finance Senator Muhammad Aurangzeb reaffirmed the government's commitment to this program, highlighting its significance for energy conservation and climate action. The program will be managed through a centralized digital platform by the Punjab Information Technology Board, integrating banks, power utilities, and fan manufacturers (Pkrevenue, February 17, 2026).