The government is mulling to amend the foreign direct investment (FDI) and industrial policies to attract more foreign private investment in the country.
Speaking at a programme organised to launch a comprehensive book and CD on ‘Foreign Investment Guide for Nepal’ prepared by GTZ/Private Sector Promotion Project in cooperation with the ministry of industry, commerce and supplies, Finance minister Dr Ram Saran Mahat said that the drafts of the FDI policy and industrial policy are being reviewed to make them more flexible and investment-friendly.
“The need to change the existing policies has been felt to attract more FDI, considering Nepal’s strategic location between the world’s two fastest growing economies of China and India,” Dr Mahat added.
He urged all to investors to invest in Nepal saying the country’s situation after the historic popular movement last month has greatly improved and thus the environment for investment and business activities is conducive.
“A series of reforms are underway and Nepal will be open to FDI in almost all sectors. Both foreign and domestic investors should now look at a vast potential of China and India from Nepal,” he said.
Bharat Bahadur Thapa, secretary at MoICS, said that Nepal is open for FDI, including transfer of technology, improvement of management skills and productivity and providing access to international markets.
Norbert Meyer, counselor at the German embassy in Kathmandu, said that it is the right time to bring more investors to Nepal and to reach for some tangible results.
After the historic movement and improvement in situation here in Nepal, the donor communities has shown readiness to bring in more money and projects, which will also encourage foreign private investors to come to Nepal, Meyer said.
Armin Hofmann, principal advisor of GTZ underlined a dire need for investment in Nepal for reconstruction and rehabilitation.
“Prosperity could be ensured only with foreign investment that is vital for Nepal which has undergone a painful period of uncertainty and conflict,” he said.