Finance Ministry forms task force to do homework on startup businesses

KATHMANDU, June 7: The Ministry of Finance (MoF) has formed a task force to make necessary homework on startup businesses and workplace-based training and employment programs for the implementation of the provisions related to the private sector included in the budget for the fiscal year 2021/22.

The MoF formed the task force after holding discussions with officials of Federation of Nepalese Chamber of Commerce and Industries (FNCCI), Confederation of Nepalese Industries (CNI), Nepal Chamber of Commerce (NCC) and Nepal Bankers’ Association (NBA) to prepare for the implementation of the programs and policies.

Joint Secretary at the Ministry of Finance Mahesh Bhattarai is the coordinator of the task force while representatives from the Ministry of Industry, Commerce and Supplies, National Planning COmmission, FNCCI and CNI are members in the taskforce.

Coordinator Bhattarai said that the task force will formulate necessary procedures and action plans for the program by mid-July to implement the programs as soon as the fiscal year 2021/22 begins.

As per the budget for the FY 2021/22, the government has said that it will establish a challenge fund of one billion rupees through which entrepreneurs can get seed capital loan up to Rs 2.5 million at 1% interest rate. The government has said that the program was launched to encourage youth in startup businesses. 

Similarly, one billion rupees has been allocated to conduct workplace based training by providing grants equal to three months of minimum wage to trainee workers in manufacturing and service industries in partnership with the private sector to develop skilled manpower as per the needs of indigenous industries.