Loden-DHI FundPosted on: September 2nd, 2015
In an attempt to help address issues pertaining to access to finance which has been identified as one of the growing constraints in starting businesses in Bhutan, The Loden Foundation and Druk Holding Investment Ltd. signs an agreement to launch a special funding window called ‘Loden-DHI Fund’ under Loden Foundation. It was launched to commemorate the most auspicious 60th birth anniversary of the 4th King of Bhutan, Jigme Singye Wangchuck.
The programme aims to help empower youth through the promotion of entrepreneurship in Bhutan by providing business finance to aspiring entrepreneurs in Bhutan. DHI has provided a total Fund of Nu. 20 Million (about US$ 400,000) to be managed by Loden Foundation. Loden-DHI Fund will provide collateral and interest free loans to entrepreneurs interested in starting a new business or expanding an existing business which are feasible and will lead to the formation of large size, high growth companies in Bhutan. The programme aims to combat the rising youth employment and contribute towards economic development.
During the inaugurals ceremony, Dr Damber S. Kharka said, “We saw the potential and expertise required to support entrepreneurship in Loden in terms of developing businesses and helping entrepreneurs how to set up business followed by financing and monitoring of the projects. This is one of the reasons why we choose Loden has our partner”.
Dr Karma Phuntsho, the President and the Founder of Loden Foundation said, “If the country’s economy has to be sustainable and strong, it is really the private sector that has to be the engine of the economic growth”. However, he also underlined that “as a private sector grows, it is both the state and the private sector’s responsibility that the business culture grows in a responsible and ethical manner rather than being driven purely by profit motive”.
The call for business proposals will be made by 5th September, 2015.