North East Venture Fund(NEVF)

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News:The Government has informed the Parliament that North East Venture Fund(NEVF) has disbursed over Rs.18 crore to 12 start-ups till February,2020.

Facts:

About NEVF:

  • Launched in 2017 by the North Eastern Development Finance Corporation Limited(NEDFi) in association with the Ministry of Development of North Eastern Region(M-DoNER).
  • Aim:To contribute to the entrepreneurship development of the NER and achieve attractive risk-adjusted returns through long term capital appreciation by way of investments in privately negotiated equity related investments.
  • It focuses on startups in five sectors namely  a) food processing b) healthcare c) tourism d) aggregation of services and e) IT and IT-enabled services.
  • It is a close ended fund with capital commitment of Rs 100 crore.Each investment will be limited to a minimum of Rs.25 lakh and a maximum of Rs.10 crores with long term investment horizon of 4-5 years.

Additional information:

About NEDFi:

  • North Eastern Development Finance Corporation Ltd (NEDFi) was incorporated as a public limited company under the Companies Act, 1956 in 1995.
  • It is also categorized as Non-Banking Financial Company(NBFC)-Loan Company and was registered with the Reserve Bank of India (RBI) in 2002.