North East Venture Fund (NEVF) is making progress

  • The North East Venture Fund (NEVF) has evolved as a regional startup accelerator.
  • NEVF has invested in 37 firms since its foundation, totaling Rs 56.84 crores in the entrepreneurial ecosystem.

What is North East Venture Fund (NEVF)?

  • Establishment: Since its inception in 2017, the NEVF has served as a catalyst for companies in the region.
  • SEBI Approval: Under SEBI’s Alternative Investment Funds (AIF) Regulations, 2012, NEVF is classified as a Category I Venture Capital Fund.
  • Investment Committee: Investment choices are made by an independent Investment Committee comprised of seasoned individuals from venture capital, private equity, and development banking.
  • Regulatory reports: As mandated, NEVF donors and relevant bodies receive periodic reports on operational and compliance aspects. This ensures openness and regulatory compliance.
  • Regulatory Oversight: The fund’s activities are subject to regular audits by the Reserve Bank of India (RBI) and the Comptroller and Auditor General of India (CAG).

NEVF’s Funding

  • Fund capital: NEVF was founded as a closed-end fund with a capital of Rs. 100 crore.
  • Contributors: NEVF raised Rs. 30 crore from North Eastern Development Finance Corporation Ltd. (NEDFi), Rs. 25 crore from Small Industries Development Bank of India (SIDBI), and Rs. 45 crore from the Ministry of Development of North Eastern Region (MDoNER).
  • MDoNER Contribution: MDoNER made a contribution to NEDFi in the form of an interest-free loan that was repayable in a lump sum after 15 years.

Successful Outreach

  • Geographical Distribution: The startups benefiting from NEVF are distributed across multiple North Eastern states, with 24 in Assam, six in Manipur, three in Meghalaya, two in Arunachal Pradesh, and one each in Tripura and Sikkim.
  • Job Creation: Since FY18, the startups backed by NEVF have created a total of 4,812 job opportunities. There were 3,906 male employees and 906 female employees. Furthermore, 4,076 employees were untrained, while 736 were skilled.
  • Dominance of Assam: Assam experienced the most substantial job creation through NEVF-supported companies, resulting in over 4,000 job possibilities.
  • Areas of Concentration: The new rules prioritise initiatives that establish shared facilities for natural resource manufacturing, testing, packaging, research and development, and training in the NER and Sikkim. Agriculture, forestry, sericulture, and bamboo farming are examples of such industries.
And get notified everytime we publish a new blog post.