Startups in Nepal to Get 2.5 million Subsidized Loans
A path has been opened for startups to obtain easy loans up to 2.5 million rupees. After Nepal Government approved the startup procedure, a program has been initiated to promote entrepreneurship and prevent talent migration.
The Ministry of Industry, Commerce, and Supplies Nepal has prepared and approved the startup loan procedure, which provides easy loan facilities at subsidized interest rates to 14 types of enterprises.
According to the startup loan procedure, businesses that have been operating for less than 7 years are eligible to apply for the loan. The business must have a minimum capital of fewer than 50 lakhs, an annual income of fewer than 50 lakhs, a stable investment of fewer than 2 crores, and no more than 10 full-time employees. If the business meets at least 5 out of 7 criteria set by the government, it will be eligible for the startup loan facility.
Nepal Government has allocated a budget of 25 crore rupees for the current fiscal year for the flow of start-up loans. After implementing the procedure, start-ups that meet the criteria set by the government will be able to obtain a loan of 2.5 million rupees annually at a 3% interest rate from commercial banks designated by the government for up to seven years.
Even in the section where the maximum limit of start-up loans is equal to 2.5 million rupees from the amount of money exempted by the government, it is seen that a hundred start-up entrepreneurs will benefit from the flow of loans.