Govt creates startup procedure, aims to provide loan to budding startups in 16 fields

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Kathmandu, January 29

The government has prepared a startup procedure aiming to help startups by providing loans.

On January 25, the Ministry of Industry, Commerce, and Supply gave its approval to the Startup Enterprise Credit Working Procedure 2024. Industry Minister Ramesh Rijal endorsed the procedure, paving the way for the utilisation of the government’s allocated startup loan for the current fiscal year.

According to Shekhar Babu Karki, Assistant Spokesperson of the Ministry, the government has allocated Rs 250 million for startup loans this year. The government has set the provision to offer startup loans of up to Rs 2.5 million at a 3 per cent interest rate.

The procedure will now by put forward at the House of Representatives.

As outlined in the startup procedure, the loan will be provided to startups working in these respective fields:

  • Agriculture and Livestock
  • Forestry
  • Tourism Promotion and Entertainment
  • Hospitality
  • Science, Technology, Information Technology and Communication
  • Health
  • Education
  • Easy and Safe Transportation
  • Automobiles
  • Traditional Technology
  • Production and Service Delivery
  • Mining and Mineral Research and Development
  • Household or Daily Living
  • Food Production and Processing
  • Waste Management and Environment Protection
  • Disaster Management
  • Alternative and Renewable Energy
  • Climate Change Mitigation

According to the Ministry, the government will give a startup loan of up to Rs 2.5 million which will be dispersed in three instalments.

The startup procedure specifies that for loans up to Rs 500,000, the disbursement will be made in the first instalment, for loans up to Rs 1.5 million, it will be in the second instalment, and for loans exceeding that amount, it will be in the third instalment.

Startup entrepreneurs, who have not surpassed seven years of registration and meet the criteria established by the government within the stipulated timeframe, are eligible to apply for such a loan.

The post Govt creates startup procedure, aims to provide loan to budding startups in 16 fields appeared first on OnlineKhabar English News.

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