The Rural Enterprise Development Corporation Limited (REDCL) will soon increase its fund size from Nu 100,000 to 500,000.
REDCL Officials announced this during the 9th Local Government Chairpersons’ conference, in Phuentshogling, on Monday.
Officials informed the local leaders that the move is to encourage micro finance through non-formal activities in rural areas. It is also to support young graduates and women to start businesses. The lending interest on the principle amount would be four percent.
Community leaders are happy with REDCL’s initiative as they feel it will enhance rural people to uplift their livelihoods.
“The amount is being increased to Nu 500,000 and we don’t need a mortgage too. The scheme seems very convenient. People in villages will be greatly benefited as they depend on agriculture and dairy products for sustenance,” said the Gup of Sephu Gewog, Rinchen Penjor.
The Rural Enterprise Development Corporation Limited was established as a state-owned-enterprise in the country, in May, last year. It has funded nearly 200 projects in vegetable, dairy, and poultry ventures in Chhukha Dzongkhag, so far.
