Project detail - DOLMA IMPACT FUND II


Status: Approved investment
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The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.

Who is our customer

Dolma Impact Fund II (“DIF II” of Fund II”) is the follow-on fund of Dolma Impact Fund I, where FMO played an anchor investor role. DIF II has a strategy to provide scarce (growth) capital to small- and medium-sized enterprises (SMEs) in Nepal, in the healthcare, renewable energy, technology, and other sectors with high growth and impact potential. Fund II is established to generate private sector-led growth while creating positive social and environmental impact. The fund is managed by Dolma Fund Management (“Fund Manager” or “Dolma”)

What is our funding objective?

FMO’s investment in Fund II is from two government funds, MASSIF and Building Prospects. The objective of the investment is to continue supporting the first-time fund manager, Dolma, and assist the team in deploying capital towards impactful transactions that result in both economic and social impact.

Why do we fund this investment?

Fund II invests in Nepal which is one of poorest 55 nations in the world and hence is classified as Least Developed Country (“LDC”). Supporting investments in LDCs is one of the core strategies of FMO and MASSIF. In addition, Dolma is one of the first private equity (“PE”) fund managers focused on Nepal and has played a key role in developing the PE sector in the country. Fund II’s strategy of investing in renewable energy in a country that has an energy deficit and investing in companies that need capital to grow alongside its economy (and hence simultaneously boosting it) touches another cornerstone of FMO’s strategy.

What is the Environmental and Social categorization rationale?

The investment is categorized E&S category A, as the fund may invest in hydropower. With the help of FMO's investment and (still ongoing) capacity development support, the fund manager has built up E&S capacity (including a dedicated E&S Manager and a dedicated E&S Analyst) and is enabled to mitigate and manage E&S risks, and to contribute to responsible hydropower development in Nepal. With the realization of this 2nd fund, the dedicated E&S capacity will be further expanded.

More investments

Date Total FMO financing
12/3/2021 EUR 0.20 MLN

Sub investments


This data is updated annually so some investments might no longer be in FMO’s portfolio, while some newer investments may not yet be shown.

Name Country Region Sector
Wordlink Private Limited Nepal ASIA Diverse Sectors
Foodmandu Pvt Ltd Nepal ASIA Diverse Sectors
Chirayu National Hospital Pvt Ltd Nepal ASIA Diverse Sectors
Setikhola Hydropower Ltd Nepal ASIA Energy
Website customer/investment
Infrastructure, Manufacturing and Services
Publication date
Effective date
Total FMO financing
USD 10.00 MLN
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)