Access to finance has been identified as one of the growing constraints in starting or expanding a business in Bhutan thereby hindering the growth of private sector development in the country.
Druk Holding and Investments Limited (DHI), as the commercial arm of the Royal Government of Bhutan, desires to promote entrepreneurship and facilitate private sector development in Bhutan.
Loden Foundation (Loden) is dedicated to fostering an enlightened and happy society in Bhutan through the promotion of education, learning and entrepreneurship among the Bhutanese children and young adults.
Therefore, DHI and Loden mutually desire to collaborate to jointly promote entrepreneurship in Bhutan by providing business finance to aspiring entrepreneurs in Bhutan. DHI has provided a total Fund of Nu. 20 Million to be managed by Loden Foundation.
A separate financing window called ‘Loden-DHI Fund' has been created under Loden Foundation which was launched on 2nd September 2015 in commemorating the 60th Birth Anniversary of His Majesty the Fourth Druk Gyalpo Jigme Singye Wangchuck.
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 viable 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.
The call for business proposals will be made by 5th September, 2015.