Companies Applying for Startup Loans Double, Budget and Loan Limit Reduced
मंसिर ११, २०८२ १६:१८
Kathmandu: The number of entrepreneurs applying for the startup enterprise loan program for the current fiscal year 2082/083 has doubled compared to last year. However, even as interest in entrepreneurship continues to rise, the government has reduced both the budget and the maximum loan limit for the program.
According to the Industrial Business Development Foundation, 10,243 startup companies applied for loans within the specified deadline as of Tuesday (25 November). This number is almost double compared to the last fiscal year. In the last fiscal year, 5,158 applications were received.
According to the foundation’s information officer, Maniram Gautam, 8,203 companies applied online this year, while 2,041 applied physically.
Despite the increased enthusiasm, the government has reduced the program’s budget by Rs 270 million this year. While one billion rupees were allocated in the last fiscal year, only Rs 730 million has been allocated this year.
The maximum loan limit has also been reduced. Last year, the loan limit ranged between Rs 500,000 and Rs 250,000. This year, the maximum limit has been reduced to Rs 200,000. The interest rate remains unchanged at 3 percent.
According to Information Officer Gautam, fewer companies received loans at the Rs 250,000 limit last year. Most of them took loans between Rs 150,000 and Rs 200,000. He said the limit was reduced based on expert advice.
Despite the reduction in the budget and loan limit, the government has offered relief on the amount borrowers must deposit in the security fund. Earlier, borrowers had to deposit 25 percent of the loan amount. Now it has been reduced to 10 percent. This allows entrepreneurs to use a larger portion of the loan.
The foundation has said it will now begin shortlisting eligible companies from the applications received. The foundation estimates that if the number of eligible companies is high, the government may be pressured to increase the budget.
पछिल्लो अध्यावधिक: मंसिर ११, २०८२ १६:१८
