Two successful investors — former
president of Non-Resident Nepali Association (NRNA) Upendra Mahato and Ncell's
chief financial officer Tommi Holopainen — shared their experiences and
encouraged the private sector delegation from the 20 Asia-Pacific nations to
take risk, courage and find local partners to invest in Nepal. They mentioned
that the time was opportune and the country offers huge potential in every
sector as it has just started its journey towards economic development.
"Every sector in Nepal has
huge potential," said Mahato, addressing the session 'Investment
Opportunities in Nepal', during the 26th conference of the Confederation of
Asia-Pacific Chambers of Commerce and Industry (CACCI) here in the valley
today.
"There are difficulties in
doing business in every country around the world," he said, adding that it
is, however, easier to invest in Nepal compared to other nations.
This conference will help place
Nepal in the business map of Asia and the Pacific, said Mahato, who lives in
Russia but has invested in Nepal. “However, don't go for a quick-fix solution
and allocate enough funds for building the capacity of local human resources
for a long-term business prospective," he suggested.
Holopainen, on the occasion,
shared Ncell's experience in investing in Nepal, as the company has invested
over $500 million in the last four years. "We have started to repatriate
dividends to our parent company," he shared.
The country has simplified the
dividend repatriation process, various tax and customs tariff, and industrial
policy besides forming the Investment Board as a one-window shop to make it
easier for investors, said economic advisor to the prime minister Rameshwor
Khanal, outlining the investment potential in Nepal.
"Hydropower, tourism,
infrastructure — airports, roads, industrial corridor — agriculture, health,
education, mining, and IT/BPO are some of the potential sectors that foreign
investors can look at," he said, informing the delegation about the
government's preparation for 50 mega projects soon.
The meeting with a slogan ‘A
Vision for Shared Prosperity’ has seen private sector representatives of — who
are eager to share opportunities and collaborate — the Asia-Pacific region.
The march towards prosperity will
not be possible without the private sector as the locus of growth, said
caretaker prime minister Dr Baburam Bhattarai addressing the session.
Nepal is indeed striving for an
economic revolution and "I believe that the private sector, with its
managerial, financial, and technical prowess, is the best catalyst to move the
agenda forward," he said, adding that the government is committed to
ensuring that investors are provided the best investment climate that yields
the highest returns with minimal costs and efficient service delivery.
Chairing the session, president
of Federation of Nepalese Chambers of Commerce and Industry — the organiser of
the conference — Suraj Vaidya urged the visitors to make best use of their
visit and forge collaborations with Nepali businesses.
Similarly, addressing the
session, 'Asia in the Global Economy', finance secretary Krishna Hari Baskota
also said that the government has taken various policy measures to attract
foreign investment to Nepal.
Hydropower is key
Asia is moving forward rapidly
but all Asian nations must be on the same train. However, the growth model
needs change and high growth economies should leave room for lesser ones to
have inclusive growth in the region. The world has become competitive and
countries are moving fast but Nepal is standing still. It needs a strong
leadership that keeps pushing for key programmes for growth. Hydropower
development is key to attract foreign direct investment. There is no dearth of
funds but lack of determination and consistency in policy are constraints.
After the country has enough power, more FDI will flow into Nepal as the
country offers cheap labour and energy. Nepal should join hands with India and
China, and compliment their growth with more power generation.
— Dr Supachhai Panitchpakdi,
UNCTAD-secretary general
Concentrated approach key
Nepal should concentrate in one
area that it thinks is key without being distracted in many areas. If one tries
many things, it will be difficult to achieve anything. Nepal should identify
one priority industry where it wants investments. For example, it can develop
itself as a tourism hub with its serene beauty and offer a global shopping
experience concentrating in service and retail trade. However, the government
needs to assure the security of investments and increase the domestic private
sector's confidence as they can invite foreign partners. Such a conference will
help Nepal get international exposure and network with prospective investors. — KK Modi, CACCI-president
emeritus
International exposure key
World Chambers Federation is
present in 140 countries with 15,000 members around the globe. It helps
organise chambers and works parallel to the International Chamber of Commerce.
After the 2008 economic crisis, the weight has shifted to the Asia-Pacific
nations as the region's consumers are going to be the key. There needs to be
more cooperation in the region unlike the current confrontation. CACCI helps
the private sector share information and increase cooperation between them.
Nepal has to take advantage of its geographic location and attend more
transnational conferences to be part of the international business community.
Opening up the economy to the outer world will help Nepal invite foreign
investment in the long run. — Rona Yircali, World Chambers
Federation-chairman
Institutional reform key
After the collapse of the USSR,
Georgia was also in a poor shape as we lost our market. But in the last eight
years, we have concentrated in institutional reforms and today Georgia is a
more firm economy and we are expanding our businesses. Nepal can also learn and
take advantage from the Georgian experience and concentrate in institutional
reform that is key to success. Good will and wish of the leadership can make
investments look attractive. Domestic investment is also key to attracting
foreign investment. Georgians like mountains and more of them could be
attracted to Nepal. Nepal, which is placed in between the two rising economies
of Asia, should take advantage from the huge markets across the borders. — Jemal Inaishvili, Georgian
Chamber of Commerce-board member
More information key
CACCI
is important as it represents significant business people from the Asia-Pacific
region. We can rely on our sister organisations and exchange information to
expand our businesses, establish contacts, and promote investment and
cooperation as it is a networking opportunity. There is a huge lack of
information in Russia about the investment opportunities in Nepal. This
conference has provided solid ground for Russians to understand Nepal. Chamber
of Commerce and Industry of the Russian Federation signed a memorandum of
understanding with FNCCI last year and is working in partnership with
Russia-Nepal Chambers of Commerce, besides Non Resident Nepalis, to promote
cooperation. The sister chambers are now facilitating and more business people
are coming to Nepal to look for opportunities in hydropower, road infrastructure
and cement factories. — Tatiana V Legchilina, Chamber of Commerce and Industry
of the Russian Federation, International Cooperation Department-deputy director
