The Industrial Enterprise Development Institute (IEDI) has published the list of applicants who have progressed to the initial stage of the startup enterprise loan application process. The IEDI , an autonomous body established by the government to promote entrepreneurship and business development in Nepal, had invited applications between August 27 and September 16, 2024, under the Startup Enterprise Loan Operation Procedure 2024.
During this period, the IEDI received a total of 5,158 applications, of which 1,314 were selected for the initial phase, according to a notice published by the IEDI on Friday.
The government introduced the startup enterprise loan operation program in the last fiscal year (FY 2023/24). It aims to provide loans to 600 entrepreneurs in the current fiscal year (FY 2024/25). The program is being implemented by the Industrial Enterprise Development Institute (IEDI), which offers tools like training, research, consultancy, enterprise education, and management development programs to achieve its objectives.
According to IEDI, the budget allocated for the program this year is Rs 1 billion, and loans of up to Rs 2.5 million will be provided to a maximum of 600 entrepreneurs for selected projects. Although the government has long intended to implement the startup enterprise loan program, loan disbursement only began towards the end of the previous fiscal year (FY 2023/24).
Efforts to provide such loans date back to May 2023, when the program was initially managed by a secretariat under the Department of Industry. The department had called for applications from interested entrepreneurs on March 30, 2023, receiving 382 submissions. However, the program could not be implemented at that time.
Subsequently, the responsibility for implementing the program was transferred to the IEDI. On February 2, 2024, the IEDI issued a 21-day notice, inviting applications, which resulted in the submission of 1,658 projects. Applicants personally registered their projects with the IEDI.
In the last fiscal year (FY 2023/24), the IEDI recommended 183 entrepreneurs for loans out of the 1,658 projects submitted. Loans were eventually disbursed to 165 startup entrepreneurs. The government has committed to promoting 10,000 startups by 2030, aiming to create 100,000 jobs through these initiatives.
