Dr Prakash Sharan Mahat
KATHMANDU: Minister for Finance Dr. Prakash Sharan Mahat has stated that Nepal requires sufficient financial resources for its economic prosperity and transformation. He emphasized the need for foreign investment, as this need cannot be solely addressed by internal resources.
During his address at a high-level investment conference organized by the Nepali Embassy in London, the Mahat stressed the inevitability of foreign investment in Nepal, according to his secretariat and the Embassy.
The event, held at the Mansion House in the City of London, marked the completion of a century since the signing of the friendship treaty between Nepal and the United Kingdom in 1923.
The Finance Minister stated that the government has made necessary revisions to laws, acts, and institutional provisions to create an investment-friendly atmosphere in the country. The budget for the current fiscal year has introduced various initiatives for reforms and to facilitate investors.
“Necessary legal infrastructure has been prepared for capital mobilization through the international financial market,” he said, expressing his hope that UK investment in Nepal would continue to grow in the future.
Nepal’s Ambassador to the UK, Gyan Chandra Acharya, also spoke at the event, expressing Nepal’s anticipation of securing UK investments with a focus on renewable energy, information technology, education, and tourism.
“Nepal has already signed a bilateral agreement with India for power trade and is preparing to supply power to Bangladesh as well,” he said, adding that promoting electricity in Nepal would help achieve climate change goals not only in Nepal but also in South Asia.
City of London’s Alderman and Sheriff, Bronec Masojada, pledged support for Nepal in achieving sustainable development.
UK Foreign and Commonwealth Director Ben Mellor mentioned that in recent years, investments through British International Investment in various sectors in Nepal have been increasing, and the UK is supporting Nepal’s transition from the category of least developed country to that of a developing country.
Virendra Sharma, the President of the UK-Nepal Parliamentary Group in the UK Parliament, talked about Nepal-US historic relations and cited abundant potential for investment in various sectors of Nepal.
UK Expert Finance Chief Executive Officer Tim Reid announced their readiness to invest up to 1.5 billion pounds in Nepal.
The conference focused on attracting investment into Nepal, particularly in the renewable energy, information technology, and education sectors. Separate panel discussions were held on these themes, and Rajan Kandel, Chair of the British College, presented a paper on available opportunities in Nepal’s education sector.
Deputy Governor of the Nepal Rastra Bank (NRB), Bam Bahadur Mishra, assured investors that the NRB was committed to simplifying the profit repatriation process for foreign companies investing in Nepal.
Joint Secretary of the Investment Board Nepal, Amrit Lamsal, made a presentation on investment opportunities in various sectors of Nepal, emphasizing that the Board is committed to facilitating investors throughout the entire process from FDI approval to project implementation.
Likewise, Joint Secretary at the Ministry of Energy, Water Resources, and Irrigation, Sandeep Dev, spoke about the energy sector in Nepal, particularly the ongoing hydroelectricity projects, power development agreements with India and China, and Nepal’s future plans for hydropower development. He stressed the need for significant capital in these areas and highlighted the opportunities for investors.
Ganesh Karki, President of the Independent Power Producers’ Association, Nepal (IPPAN), provided information on investment opportunities for hydropower and other renewable energy projects in Nepal, urging investors to consider Nepal as the government is positive in this regard.
Managing Director of British International Investment, Colin Berkley, and Founder and Chief Executive Officer of Dolma Impact Fund, Tim Gochar, expressed satisfaction with their investments in Nepal and highlighted Nepal as an appropriate country for responsible investment.
CEO of Invest for Impact Nepal, Bibek Shrestha, made a presentation on investment by development financing organizations, representing the development financial institutions investing in Nepal.
During the occasion, a memorandum of understanding on facilitating development finance institutions in Nepal was reached between the Government of Nepal, the Ministry of Finance, and six development financing institutions: the British International Investment (UK), FMO (the Netherlands), BIO (Belgium), Finnfund (Finland), Proparco (France), and Saipem (Switzerland).
Finance Minister Dr. Mahat also held discussions with GP Hinduja, Chairman of the Hinduja Group of Industries, regarding investment in Nepal. Around 100 attendees, including British bankers, private investors, insurance companies, representatives of development financing institutions, and trade ministries from various European countries, including Britain, as well as members of the Nepali diaspora and British companies investing in Nepal, participated in the conference.
