The North Eastern Development Finance Corporation Ltd (NEDFi) has disbursed more than Rs 547 crore for the North Eastern region in between January 1 to November 30, said Union Ministry of Development of North Eastern Region (DoNER) on Monday.

The NEDFi plays an important role in facilitating the setting up of new industrial and service sector projects in the region.

“The Corporation assisted around 5,338 projects, with total sanctions and disbursements of Rs 766.47 crore and Rs 547.11 crore respectively, in diverse sectors – education and training food processing, handlooms and handicrafts, healthcare, hotels and tourism, microfinance etc. between January 1 to November 30, 2023,” the ministry said in a communique.

It further said for development of the Micro and Small Enterprises (MSE) sector, the Corporation has taken initiative to identify and nurture potential first generation local entrepreneurs and provide finance on easy terms to help them set up viable industrial projects.

The credit schemes of the NEDFi under micro and small enterprises sector are extended at concessional rate of interest. Besides, it undertakes initiatives/ activities towards promotion and development of MSME and microfinance sectors in the region, it said.

“NEDFi in collaboration with the DoNER Ministry has set up the North East Venture Fund (NEVF), a dedicated venture capital fund, to encourage start-up ventures in the region. The capital commitment to the fund is Rs 100 crore (DoNER Rs 45.00 crore, NEDFi Rs 30.00 crore and SIDBI (Small Industries Development Bank of India) Rs 25.00 crore). The fund generated a lot of enthusiasm among the start-ups from the region,’ the ministry said.

As on November 30, 2023, a total of 67 projects were given investment commitments of Rs 98.18 crore, it said.

Meanwhile, the ministry also informed that the North Eastern Handicrafts and Handlooms Development Corporation Limited (NEHHDC) will establish Ashtlaxmi Haat and Experience Centre at Guwahati (Assam), with a project cost of Rs 7.6 crore. The Haat will have 24 permanent stalls, which will provide a market access to artisans of all Northeast states and will have an artisan residency to provide accommodation to artisans from out station.

The NEHHDC is also setting up an ERI silk spinning plant at Integrated Textile Park, Mushalpur, Baksa (Assam) with a project cost Rs 14.92 crore, it said.