Social Security Program to provide up to 70% loan

KATHMANDU: The government has urged one and all to join the social security program by introducing one more scheme.

Earlier, those contributing to the fund would enjoy four kinds of facilities. With the added scheme, the contributor now will enjoy five facilities.

According to Kapilmani Gyawali, director of the Social Security Program, the fund has planned to give a 70 percent loan of the collateral’s evaluation. It has also planned to introduce an unemployment security scheme.

Earlier, the Fund would provide treatment expenses, health and maternity security, dependency security, elderly allowance, and accident insurance.

According to the provision, the collateral is mandatory for the loan.  “A contributor can take an education loan for himself as well as for his children. The Fund will provide a maximum of up to 2.5 million in education loan. The contributor will get a 70 percent loan of the collateral’s evaluation. The contributor must have contributed to the fund for at least three years to qualify for the loan. The duration of the loan will be from five years to 15 years. The interest rate will be very nominal,” added Gyawali.

The government had launched the social security program last year. In the last one year, a total of Rs 90 million has been collected in the fund with 9,000 employment proving companies while 150,000 contributors have been listed in the program.