Youth self-employment fund to decentralize service delivery system

KATHMANDU, March 1: Youth Self-employment and Small Entrepreneurs Fund is all set to decentralize its service delivery system by deploying volunteers in all 75 districts of the country to increase access of jobless people to unsecured low-interest credit of up to Rs 200,000.



Currently, the fund is providing its services through its head office in Kathmandu.[break]



As of now, 600 people have filed applications for 75 posts of volunteers. “We will complete the volunteer appointment process within March 14,” said a statement issued by personal press secretary of Finance Minister Barsha Man Pun.



The statement quoted Punya Prasad Regmi, vice chairman of the Fund, as saying the Fund will however, not begin distributing unsecured loans in all 75 districts even after selection of volunteers in 75 districts. “Initially, we will begin this work in 25 districts, names of which have not yet been finalized,” Regmi said. “But priority will be given to Mugu district.”



The loans will be distributed in these districts via state-controlled Agriculture Development Bank Limited beginning March 14. For this, the Fund has already provided Rs 1 billion to the bank.



In the second phase, the Fund will extend its programs to additional 25 districts, which will be followed by implementation of program in the remaining 25 districts.



To keep tab of the work conducted in all these districts, the Fund has also formed a monitoring committee at the central level. The committee, formed under a joint secretary of the Ministry of Finance, comprises officials of the Ministry of Industry, the Ministry of Youth and Sports and the Federation of Nepalese Chambers of Commerce and Industry as members.



The executive director of the Fund will hold the position of member secretary in the committee.



Currently, the post of executive director at the Fund is still vacant. But the Fund has already initiated the process of filling up the vacant post through open competition for which 10 people have filed application, according to Regmi.



The Fund was established by the government of the UCPN (Maoist) three years ago as a mechanism to provide unsecured low-interest loans of up to Rs 200,000 to promote entrepreneurship among jobless youths. At that time, the Fund had set an ambitious goal of providing self employment to 50,000 people. However, it has been able to extend loans to only 3,200 people so far.

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