Norka to fund business projects of returnees
The package has been in existence for several years. However, we want to build more awareness and encourage more small business in Kerala, launched by NRK returnees.”
dubai — A total of 400 entrepreneurial ventures were launched by non-resident Keralites (NRK) in the financial year 2017-18, revealed a senior official at the Department of Non-resident Keralites Affairs (Norka Roots).
In order to fund these projects, over Rs80 million (Dh4.2 million) was dispersed from the Rs150 million (Dh7.8 million) budget from the Norka programme titled Norka Department Project for Returned Emigrants (NDPREM), revealed K Harikrishnan Nampoothiri, Norka CEO. The CEO added: “The remaining Rs70 million (Dh3.6 million) will be dispersed to interested entrepreneurs by the end of March 2019.”
According to Harikrishnan, this programme was launched to help rehabilitate and empower returned emigrants to start a new life back home in Kerala. “The package has been in existence for several years. However, we want to build more awareness and encourage more small business in Kerala, launched by NRK returnees.”
K Harikrishnan Nampoothiri, Norka CEO
Norka bank tieups
Explaining the workings of the project, Harikrishnan said: “Under this scheme, Norka Roots entered into memorandum of understanding (MoU) with major banks across India — State Bank of India, South Indian Bank and the Union Bank.” Furthermore, the Kerala State Backward Classes Development Corporation and the Kerala State Pravasi Welfare Development — Co-operative Society have signed additional MoUs to associate themselves with the project.
“In case an NRK returnee is interested to start a business in Kerala, banks will sanction loans for launching modest enterprises. Current beneficiaries have launched businesses in several sectors, including agriculture, trade, and many more.”
Norka Roots releases a capital subsidy of 15 per cent of the project cost, subject to a maximum of Rs2 million ( Dh104,570) and interest subsidy of three per cent for the first four years, to those beneficiaries who are regular in payment.
“In case of default, the benefit can be availed only if the beneficiaries clear off his/her dues,” Harikrishnan said, “The NRKs need to have lived outside India for a maximum of two years. That is one of the main criteria to apply for this programme.”
Norka also conducts orientation and training camps prior to screening and selection to boost the managerial capabilities of the entrepreneurs.