US reports investment barriers in Nepal

The US Department of State has reported a gamut of investment barriers in Nepal.
The department’s ‘2019 Investment Climate Statements: Nepal’ has critisised Nepal’s business climate claiming various institutional and procedural impediments. “Nepal offers opportunities for investors willing to accept inherent risks and the unpredictability of doing business in the country,” the report reads, adding, “Significant investment barriers remain, while Nepal has established some investment-friendly laws and regulations.”
Questioning the government’s capacity to implement reforms including newly enacted laws including the Foreign Investment and Technology Transfer Act, Industrial Enterprise Act, Special Economic Zone Act intended to attract increased foreign investment, the report has expressed serious doubt over the delivery.
The government has lined up around 3 dozen Acts and Policies in parliament to amend them to encourage and attract investment but the private sector has been confused as the amendmends are more regressive than progressive according to the recent business environment.
The domestic investors have also blamed that the laws pose impediments and restrictions to foreign investment, despite the amendments to attract foreign investment. The government, in a move to discourage the petty foreign investment and attract bigger ones, reduced the minimum threshold on foreign investment but failed to minimise business risk.
“Three laws directly impacting foreign investment were hurriedly revised and passed by Parliament ahead of the 2019 Investment Summit,” the report reads, adding that it left little time for consultations or transparency in the process. “The ‘petty bureaucracy’ based hindrances have impeded smooth conduct of business and the issues remain unaddressed in the absence of pay-offs or personal interventions with cabinet-level officials.”
Rather than systematic and routine processes, many foreign investors note that Nepal’s regulatory system is based largely on personal relationships with government officials, the report further reads, quoting a World Bank official as saying that corruption in Nepal was 'endemic, institutionalised, and driven from the top'. “Corruption takes many forms but is pervasive in the awarding of licences, government procurement, and revenue management,” it adds.

Department of Industry to set up one-stop service by mid-May

The Department of Industry (DoI) is planning to set up one-stop service for investors by mid-May, to ease the doing business in Nepal.
"The one-stop service will end the compulsion of going to about two dozen entities for registration of enterprises and investment approvals," according to the director general of the department Binod Prakash Singh.
"We are planning to bring the one-stop service into operation by mid-May," he said, adding that establishing the one-stop service for investors was one of the key commitments made by the government during Nepal Investment Summit held in Kathmandu two weeks ago. The Investment Board Nepal (IBN) was also established as a one-stop service centre for the large investors. But it has not been able to provide integrated services till date.
The department handles investment proposals – including foreign investment – for projects up to Rs 6 billion and hydropower projects having capacity below 200 MW, whereas the projects with investment above Rs 6 billion and hydropower projects above 200 MW capacity come under the jurisdiction of the IBN.
The approval of Public Private Partnership and Investment Act 2019 in March before of the Nepal Investment Summit 2019 set the ground for providing one-stop service.

NRNA, domestic investors save the government

Non Resident Nepalis Association (NRNA) and domestic private sector saved the government as the mega projects illuded the investment summit that has showcased 77 projects for the foreign investors.
The government today signed some 15 memorandums of understanding (MoUs) – most of which is with the domestic private sector and NRNA – of the 17 applications, at the conclusion of the two-day Nepal Investment Summit 2019 in Kathmandu.
The summit witnessed investment agreements on 15 projects between investors themselves and also between the government and investors, according to the Investment Board of Nepal (IBN) that has extended the deadline to submit their applications for the showcased projects till April 20 due to low turnout.
Of the 15 projects that were signed, Chaudhary Group (CG) – owned by Forbes-listed only Nepali billionair Binod Chaudhary – alone signed 4 joint venture agreement with Indian investors, whereas some of the projects earlier said to bring in foreign direct investment (FDI) also signed agreement for financing with the local banks – giving a new definition to the FDI, though the experts claimed it to be a government 'face saver' for the government. A FDI project signing financing agreement with domestic banks is going to not only change the definition of FDI but also create liquidity crunch and hit macroeconomic stability in the country, though the amount seems not huge.
The projects include a joint venture agreement on development of a multi-model logistic park between CG and Sharaf Group, JV agreement to develop the 600-megawatt utility-scale solar photovoltaic project between CG and Skypower, JV agreement between CG and Turkcell for 5G mobile network service, solar photovoltaic energy between Chief Ministers’ Office of Province 2 and CG Infrastructure, according to the board. 
The summit also witnessed agreement on development of the 164MW Kaligandaki Gorge Hydropower Project between Yunnan Xinhua Water Conservancy and Hydropower Investment, Hydro Solutions Group and Shanghai Investigation, Design and Research Institute.
The event also witnessed commitment letter for financing the 900MW Arun-III Hydropower Project – though the Indian developer was supposed to bring in the FDI to develop hydel project – between Nabil Bank, Everest Bank, State Bank of India and SJVN Arun-III Power Development Company. The Indian SBI Bank has made a commitment to provide Rs 65.6 billion while Everest Bank Ltd (Rs 8.13 billion) and Nabil Bank Ltd (Rs 4.88 billion) will also contribute to the project estimated to cost  Rs 112.28 billion.
Muthoot Finance of India also officially announced its investment of Rs 399 million in United Finance, though Muthoot had already agreed to inject money in C-class financial institution in Nepal. United Finance is also a part of Chaudhary Group (CG).
The summit also witnessed an agreement for development of Himalaya Boutique Village Resort in Banepa, setting up a Rs 10 billion fund by Non-Resident Nepali Association (NRNA) and construction of a grain warehouse and infrastructure development cooperation. NRNA and Ministry of Industry signed the agreement. NRNA presiden Bhaban Bhatta informed that an agreement is signed with the government to set up a basket fund worth Rs 10 billion to support the government’s agenda of economic prosperity.
Likewise, Investment Board Nepal (IBN), International Finance Corporation (IFC) and Special Economic Zone (SEZ) Authority for development of Simara SEZ as per public-private-partnership (PPP) modality. Also notable were the announcement of financial investment confirmation of $650 million for the 216-MW Upper Trishuli Hydropower Company by a Korean company.
The IBN has also claimed that it will set up a robust follow-up mechanism on agreements that had been signed and those that would be signed in the next few weeks.
But the investors seemed not convinced with the two-third majority 'communist' government due to their schooling and unpredictable behavior.
The second Nepal Investment Summit held in 2017 saw the commitment of around Rs 14 trillion and its implementation progress is nearly 25 per cent. The country had organised the summit for the first time in 2048 BS following the restoration of democracy. The investors attending the summit had pledged investment of approximately $100 million, but only around 25 per cent was realised, government data show.
This time the investment could go up in the extended deadline.
Addressing the concluding ceremony, former prime minister and co-chair of Nepal Communist Party (NCP) Pushpa Kamal Dahal said it was the right time for investors to inject investment in Nepal as the country’s sole priority was economic prosperity and development.
Finance Minister Dr Yubaraj Khatiwada said the investment summit had successfully promoted Nepal as a favourable destination for doing business and expressed his commitment to support investors through all means.
A total of 735 delegates from 40 countries representing 300 companies, in addition to 600 domestic participants from over 100 companies, took part in the summit, according to the board.

ADB VP attends investment summit in Nepal, reaffirms development support

Asian Development Bank (ADB) vice president Shixin Chen reaffirmed the multilateral development partner's commitment to supporting economic prosperity and assisting the country in fulfilling its growth aspirations.
"In our 50-year partnership, we have mobilised about $6 billion to help build infrastructure and services and improve the lives of the people of Nepal,” Chen – who is on Nepal visit from March 26 to March 30 – said at the Nepal Investment Summit here today.
"ADB’s operations in Nepal have continued to grow over the years and we will continue to support Nepal as it aims for accelerated economic growth," he said, underscoring Nepal's recent efforts to introduce economic reforms and to extend economic cooperation in the region. "Nepal is at the cusp of transformation and can now capitalise on improvements in the economy and address the remaining challenges in attracting investment."
Chen took active part in the Nepal Investment Summit yesterday and today, where Prime Minister KP Sharma Oli and representatives of development partners discussed on making Nepal more investment friendly country.
During the visit, Chen also met with the Prime Minister and reiterated ADB’s support for the government’s development agenda while expressing confidence in the country’s economic prospects. He also met with finance minister and ADB governor Dr Yuba Raj Khatiwada and energy minster Barsha Man Pun during his visit, a press note from the ADB Country Office in Kathmandu reads.
Chen – during his remarks at the investment summit – also noted that Nepal government’s campaign of 'Happy Nepali, Prosperous Nepal' rightly captures people’s aspirations for accelerating economic development in the country and the Summit comes against the backdrop of political stability and improvements in the economy.
Chen noted that ADB’s country partnership strategy for Nepal covering the 5-year period – from 2020 to 2024 – is being prepared and will reflect the government’s development priorities for sustainable and inclusive growth.
During his 5-day visit, Chen also visited ADB-supported project sites, including the South Asia Tourism Infrastructure Development Project in Lumbini and Gautam Buddha International Airport in Bhairahawa, and Sanjivani School in Dhulikhel under the Earthquake Emergency Assistance Project. The latter project is helping to rebuild schools, government buildings, and roads damaged by the devastating earthquake of 2015.
ADB's active portfolio consists of 36 projects amounting to $2.8 billion and 18 technical assistance projects worth $26.4 million.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. In 2018, it made commitments of new loans and grants amounting to $21.6 billion. Established in 1966, it is owned by 68 members, 49 from the region.

Repatriation of profit from Nepal is easy

Repatriating profit from Nepal is difficult a myth, clarified foreign investors investing in Nepal since long.
Speaking at a session on 'Building Industrial Base and Creating Jobs' during Investment Summit Nepal 2019, here today, managing director of Surya Nepal Abhimanyu Kumar Poddar said that repatriating profits from Nepal has never been an issue. "It's a myth that it is difficult to repatriate profit out of Nepal," Poddar said adding that Surya Nepal has had successful investment in local value chains of the country, which today connects, among others, more than 10,000 farmers to the company's manufacturing system.
Repatriation has been an issue for the foreign investors time and again. And Poddar's statement – an assurance to investors participating in the summit that they can easily repatriate returns from the country – is a testimony of the company that is working in Nepal since the last 35 years.
Poddar, on the occasion, also shared his experience of doing business in Nepal, stating that the business environment has significantly improved in the country over past few years.
Citing examples of improvement in power situation and the responsiveness of the government, he also laid Surya Nepal's plan to invest in manufacturing sector, particularly food products in near future. "The company is entering into the country's tourism industry and constructing a luxury hotel in Kathmandu," he said, adding that the multinational company also has a plan of investing another Rs 6 billion in the hospitality sector.
However, international investment experts suggested Nepal to address a few challenges regarding structural reforms and adoption of technology in a bid to lure foreign investors.
"Nepal has a huge investment potential," deputy chief executive officer of KPMG, India, Akhil Bansal said, adding that Nepal still has a long way to go in terms of easing the doing business climate, which is crucial for investments to come in and the economy to grow though the country in recent times has initiated structural reform.
Apart from the sectors like tourism, agriculture and hydropower, which have immense untapped potential for investors, Nepal also should promote investment in the manufacturing and technology sector,” Bansal said, adding that adoption of technology will be crucial in bringing down the production cost in Nepal, which is relatively high. "Adoption of technology along with low labour cost will help bring down the cost of doing business in Nepal."
Explaining that the cost of doing business determines rate of return, he said that any investor first looks at the rate of return before investing. "Political stability, easy administrative procedures, easy entry and business operation are the other aspects that investors look for."
He also said that the foreign investors in the past were reluctant to come to Nepal due to political instability. "Now, it is high time for Nepal to promote itself as a business-friendly country following the end of political transition," he said, adding that the investment summit has been organised at the right time.

DPRs of cross border railways to be completed within a year: Mahaseth

Nepal expects to complete Detail Project Reports (DPR) of cross border railways within a year.
Addressing a session on 'Building Sustainable Transport Infrastructure' during the Nepal Investment Summit 2019, here today, minister for Physical Infrastructure and Transport Raghubir Mahaseth said that Nepal is expecting to complete the (DPR) of Kathmandu-Kerung and Kathmandu-Raxual railways within a year.
"The East-West Railway is around 1100-kilometer," he said, adding that Nepal has already completed pre-feasibility survey of Kathmandu-Kerung and Kathmandu-Raxual railways. "We hope to complete DPRs of both the railways within one year."
He also said that the estimated cost of proposed Kathmandu-Kerung railway is around $3 billion. "Nepal is planning to finalise the DPR of the Kathmandu-Kerung railway project in six months," he said, adding that there will be discussion with the Chinese side about the modality of the DPR by the first week of April. "The government is working to improve transport infrastructure in the country."
Highlighting the need for cable car and e-vehicle among other transportation infrastructures, as an alternative transportation models in Nepal, he said that Nepal doesnot have technology in infrastructure development of Nepal. "Thus Nepal should develop this sector with the support from neighbouring countries."
Encouraging the private sector to invest in the aviation sector, Mahaseth said that Nepal is now heading to achieve sound economic growth. "Nepal is graduating to the middle-income country by 2030."
Inaugurated by the Prime Minister KP Sharma Oli today morning, the third investment summit is witnessing parallel sessions 'Infrastructure: Building Sustainable Transport Infrastructure', 'Agro and Forest Products: Opportunities Through Niche and Value Chains' and two plenary sessions 'Invest in Nepal: Experience Sharing', 'International Experience Sharing' and 'Financing for Infrastructure Development", and over 600 foreign investors including high-level delegates from 40 countries are sharing their experience.
Mahaseth, on the occasion, said
Speaking, on the occasion, panelists in the discussion said that Nepal needs to construct infrastructure in the transport sector and there are ample opportunities to invest in Nepal.

India to allow Nepal’s power export to third countries

India committed to allow Nepal to export electricity through its territory to countries like Bangladesh and Myanmar. With India willing to allow transmission of electricity to Bangladesh via its territory, the foreign investors' moral is expected to get a boost. The foreign investors have been expressing concerns about lack of access to foreign markets for energy produced in Nepal.
"Nepal is a hub for hydropower electricity generation and it has great potential to recharge entire South Asia as a battery backup,” secretary of the Central Electricity Regulatory Commission (CERC) of India Sanoj Kumar Jha said, addressing a session 'Energy: Generating 15000 MW Meeting Domestic And Cross Border Demand For Economic Transformation' at the Nepal Investment Summit in Kathmandu today.
"India will provide necessary support to export Nepal’s power to Bangladesh and Myanmar through its territory," the chief of the key regulator of power sector in India said, adding that India also needs more hydropower electricity to diversify its energy mix.
India has set a target of increasing the share of hydropower generated electricity to 40 per cent in its total energy mix as India’s energy portfolio is heavily skewed towards coal-based thermal power. India's hydropower accounts for only 26 per cent of the total energy mix."
Nepal is expected to become energy-surplus nation during wet season once 456-megawatt Upper Tamakoshi Hydropower Project and few others come into operation from next year.
"We are searching for markets in South Asia and beyond to sell the excess power,” said energy minister Barsha Man Pun, on the occasion. "The government is also seeking support of domestic and foreign investors to tap the country’s energy potential, which stands at over 80,000 MW, whereas current installed capacity stands around 1,270 MW only."
He also committed to reform the power sector and make sure that proper policy and legal instruments are in place to harness Nepal’s huge energy potential. "The government is currently formulating an integrated water resources policy, which will guide the overall development of water resource-based projects in Nepal," he said, adding that it has also begun to develop river basin plans and a hydropower development master plan for holistic development of potential energy projects. "The government has put energy in top priority as the sector is the major basis of country's economic transformation."
The government has set a target to produce 15,000-megawatt power within next 10 years and export 5,000 MW, Pun added. "The government has been taking initiatives to bring in foreign investment in big projects."
Urging the foreign investors to invest in hydropower sector of Nepal as it is the important foundation for the development of South Asia he also informed that projects like Dhalkebar-Mujjaffarpur transboundary transmission line have been forwarded.
"Nepal needs to export electricity to fast growing economies like India and Bangladesh,” suggested general manager of Power China Song Dongsheng. "Very soon energy consumption in South Asia will also go up and Nepal’s electricity will play a vital role in meeting the demand," he said, promising that China is ready to provide necessary support to Nepal’s power sector under the one belt one road initiative.
Chief Engineer of Bangladesh Power Development Board Mohabubur Rehman, on the occasion, informed that Bangladesh targeted to import 9,000 MW of power from Nepal by 2040 and that 500 MW was being purchased from the Upper Karnali Hydropower Project.
Power purchase agreement (PPA) with GMR, developer of Upper Karnali Hydropower Project of Nepal. "It is also underway to import 500 MW immediately," according to Rahman. "It is believed that the finalisation of PPA is expected to pave the way for signing financial closure in the project."
Nepal and Bangladesh have also signed an agreement of energy cooperation and also announced a plan to build electricity transmission line via India. Bangladesh has also been seeking Indian support in bilateral and multilateral talks to import energy.
National Planning Commission (NPC) member Dr Krishna Prasad Oli, on the occasion, stressed the need for constructing watershed hydropower projects to reduce impact of climate change. Stating that a bilateral mechanism has been set up for exchange of cooperation among neighbours China, India and Bangladesh, he said efforts were underway to export Nepal's electricity to the regional market.
SAARC Energy Framework Agreement signed in 2014 has laid the foundation of energy cooperation and exchange, which paved the way for further cooperation in energy transfer among the South Asian countries.
Likewise, executive director of the Nepal Electricity Authority (NEA) Kulman Ghising said efforts were afoot to achieve the government's goal to produce 3,000 megawatts electricity in next three years, 5,000 MW in five years and 15,000 MW in 10 years. "Pojects of 16,000 MW are at various phases of construction."
Speakers at the session also highlighted the institutional arrangements and bilateral agreements that the government had made for investors in the energy sector.

PM invite investors to take benefit from opportunity in Nepal

The government today called foreign investors to inject money in Nepal by taking advantage of the better investment climate. The government also vowed to protect their investments in Nepal and 'guarantee' their profits, as part of its efforts to woo foreign investment.
“Nepal offers attractive packages to investors in terms of taxation, import duties and export facilitation," Prime Minister KP Sharma Oli told some 1,000 participants, including around 600 participants from 40 countries, during the inaugural session of the two-day long Nepal Investment Summit 2019, jointly organised by the government and Investment Board Nepal (IBN), here, today.
Nepal also offers low labour cost, which investors primarily look for, he said, explaining reforms that have been made over the years to attract foreign investment, which is crucial to bridge huge infrastructure gap and generate jobs in other sectors to transform Nepal into a middle-income country.
The country has brought legislations that are investor-friendly and amended key laws to improve the business climate, he said, adding that the government has also simplified business registration, land acquisition and environmental impact assessment processes. "Every sector, from hydropower to agriculture and tourism to manufacturing, is highly profitable and their potential is yet to be tapped."
Oli further told the investors that Nepal today has a government which is not just stable but also has a clear vision for inclusive development through government-private sector partnership. "Feel secure and grab the opportunity," he said, adding that the government and the entire country will facilitate both domestic and foreign investment.
Likewise, finance minister Dr Yuba Raj Khatiwada, on the occasion, reinforced PM’s calls for greater foreign investment adding, “Favourable policies, stable politics and the country’s strategic location are what really make Nepal a suitable business destination."
Addressing the inaugural session, former finance minister and Nepali Congress leader Dr Ram Sharan Mahat said that foreign investment is crucial for Nepal to expand its export base and address the problem of ballooning trade deficit. "Nepal will not meet its growth and development targets without foreign investment,” he said.
“Nepal should look for responsible investors who do not prioritise short-term profit," union minister for investment and foreign economic relations of Myanmar U Thaung Tun said, urging the government to 'focus on agriculture sector to boost the economy'.
Likewise, vice-president of the World Bank for South Asia Hartwig Schafer and vice-president of the Asian Development Bank Shixin Chen, on the occasion, praised the government for giving high priority to introduction of business-friendly regulations and improvement of business climate.
Chen said investments had already been made in energy, drinking water, town infrastructure and education of Nepal, and strategies had been made for more investments. Referring to the ADB's investment in Melamchi Drinking Water Project, Gautam Buddha International Airport, he said that ADB plans to make long-term investment in Nepal.
Likewise, Schafer expressed his readiness to invest in Nepal so as to help its goals of 'Prosperous Nepal, Happy Nepali', stating that is environment conducive for investment in Nepal lately with some changes in legal structures in this regard.
The government has expedited the process of economic reform in recent months with an aim to lure FDI and ease the doing-business environment. Crucial legislation for investment including the Foreign Investment and Technology Transfer Act (FITTA), and the Public-Private Partnership (PPP) and Investment Act were approved just before the investment summit, , though development partners have called the government move a 'haste' and lack of enough discussion on the legal reforms. The laws still needs enough discussion as they still are restrictive, the development partners observed.
However, a dozen memorandums of understanding (MoUs) are going to be signed with foreign investors by the end of the summit to bring in their investment, according to government sources.
Addressing the guests, finance minister Dr Yuba Raj Khatiwada said that high and broad-based economic growth, solid economic fundamentals, a transparent and predictable tax system and recent regulatory reforms make Nepal an attractive investment destination.
"Affordable tax rates have been fixed and laws made targeting investors," he said, adding that there is possibility for investors to have a big market in Nepal standing between big countries China and India.
The summit will witness various discussions on investment opportunities in Nepal today itself. 

High-level World Bank Group delegation heads for Nepal Investment Summit

The chief executive officer of the Multilateral Investment Guarantee Agency (MIGA) and two World Bank Group vice presidents will join development banks, ambassadors, and hundreds of investors from more than 30 countries at the Nepal Investment Summit on March 29 and 30, according to the World Bank.
The summit aims at helping attract private financing for key infrastructure projects as Nepal undertakes new regulatory reforms.
The top three bank officials including executive vice president and CEO of MIGA Keiko Honda, vice president of the World Bank’s South Asia region Hartwig Schafer, and vice president at the Economics and Private Sector Development of International Finance Corporation (IFC) Hans Peter Lankes will take active part in the summit.
The three World Bank Group representatives will discuss the bank’s support for Nepal with Prime Minister K P Sharma Oli and finance minister Dr Yuba Raj Khatiwada, the bank's press note reads.
“Nepal has been a rising star in South Asia with foreign direct investment flows reaching a record high in 2017, and likely to remain an important investment destination in the region," Honda said, adding that it confirms Nepal’s efforts to improve its investment climate and become a competitive investment destination for multinational companies that want to have an impact. "We stand ready to work with investors and the government to make Nepal a hub for investment in infrastructure that improves lives, leads to sustainable growth and delivers opportunity for its citizens."
"With 25 projects approaching $3 billion in financing, we are here for the long haul and will continue to support infrastructure development, policy reforms, skills development, and anything required," South Asia VP Schafer said, adding that there is a clear acceptance by Nepal authorities that the country’s prosperity will rely on crowding in the investment from around the world. "Not only financial resources, but also technical and managerial know-how, will be critical to realise Nepal’s vast potential."
"IFC has played a role in creating markets and supporting investments for 60 years," added IFC VP Lankes. "In Nepal, we are looking to scale up significantly our investments in strategic sectors such as hydropower, agribusiness, tourism, and financial inclusion," he said, adding that the IFC is encouraged by the government’s efforts to improve the enabling environment and IFC plans to increase its cumulative investment portfolio to around $1 billion over the next four years.
Schafer will speak at the summit’s inaugural session tomorrow. Lankes and Honda will deliver special addresses at March 30 sessions on international experience-sharing and financing infrastructure, respectively.
In Nepal, the World Bank Group (WBG) includes the International Development Association (IDA), the concessionary lending arm; the International Finance Corporation (IFC), the private sector arm; and the Multilateral Investment Guarantee Agency (MIGA), the investment risk insurance arm.
The World Bank currently supports 25 active investment projects in Nepal with $2.6 billion in commitments from IDA and trust funds of which a significant portion is for policy reforms in the areas of fiscal decentralisation, the financial sector, and the energy sector. The indicative resources available under IDA18 (fiscal year 2018-20) are about $1.39 billion, including $300 million from the IDA Risk Mitigation Regime. IFC aims to commit about $800 million to $1.2 billion over the five-year period (Fiscal year 2019-23). MIGA is actively seeking opportunities to support foreign private investment into Nepal.
IFC Nepal focuses on private sector development through provision of financing and advisory services to companies to boost their competitiveness, while expanding financial inclusion and delivering sustainable infrastructure solutions. IFC’s current portfolio in Nepal is $57 million. The budget for advisory support aimed at creating bankable projects and building capacity stands at nearly $16 million.
The World Bank Group (WBG) fielded its first economic mission to Nepal in 1963 to assess the country’s development prospects and challenges. It approved its first credit in 1969 for a telecommunications project. Since then, the World Bank has provided Nepal $4.75 billion in assistance ($3.48 billion in credits and $1.27 billion in grants).

Investment Board to showcase 63 projects in investment summit

The Investment Board-Nepal (IBN) today approved 63 projects – ranging from 340 million to Rs 340 billion – to be showcased at the Nepal Investment Summit scheduled for March 29-30.
The 35th board meeting chaired by Prime Minister KP Sharma Oli today has approved the projects prepared by the board to be showcased before investors – both the foreign and domestic – at the investment summit that is expected to see some 400 participants.
The projects related to transportation, tourism, agriculture, education and health sectors will be showcased before the investors, board chief executive officer Maha Prasad Adhikari said, adding that the approved projects include Kathmandu Bus Rapid Transit, Ramgram-Tilaurakot Bus Rapid Transit, West Seti Hydel Project, Second International Airport in Nijgadh, Warehouse and Processing Centres, Sunkoshi-2 and Sunkoshi-3 Hydel Projects, Madhya Kaligandak Hydel Project, Special Economic Zone (Simara), Hetauda Smart City, Waste Management Project (Butwal), Dhulikhel Medicity and Pokhara Technical School. "The board will present the projects with all their features, including financial analysis at the summit."
The board has also selected the projects keeping in the federal setup in the mind with priority projects of different provinces, he added. Among those on the list are seven projects in road and air transport, including three new projects Kathmandu Bus Rapid Transit, Ramgram-Tilaurakot Bus Rapid Transit and Sudurpashchim Sarbajanik Yatayat. The latter two projects are of Province 5 and Sudurpaschim Province respectively.
There are also five projects in tourism infrastructure, including at local and provincial levels. Likewise, the board has prepared 13 projects in hydro-power including six in the private sector, to present at the summit.
Likewise, two educational and health sector projects and three in industrial infrastructure are also ready to showcase. Three urban infrastructures have also made it to the list apart from two cement factories and three cable car projects, Adhikari added. "Some 400 delegates have confirmed their participation in the summit and most of them are from China and India."
Prime Minister during the meeting also directed the government agencies for security arrangements.
Earlier, the board that had exhibited eight projects at the first Investment Summit in 2017 has left out three projects – Tamakoshi III, Integrated Solid Waste Management Project and Kathmandu Hetauda Tunnel Highway – for the second summit.
Tamakoshi III is already taken up by a private party and the solid waste project is now in the implementation phase. The tunnel highway is also signing contract with Chinese investors this week after the special annual general meeting called on March 23.

Before investment summit, unidentified group detonates explosive at Ncell Office

Creating terror among the investors before Nepal Investment Summit, an unidentified group detonated a bomb in front of telecommunication service provider Ncell head office at Nakku in Lalitpur.
Police confirmed that an unidentified group has detonated an explosive near the gate of the Ncell head office at Nakkhu in Lalitpur this evening. The preliminary reports suggest that at least three persons have sustained injuries in the blast. "At least three people have been reported injured after an improvised device exploded at Nakku in Lalitpur," Police added.
Meanwhile, Police also said that an emergency response team has reached the site immediately after the blast.
Police informed that the injured have been rushed to Alka Hospital, B&B Hospital and Mediciti Hospital for treatment. "The injured have been identified as Urusha Manandhar, 25, from Kavre; Pratiksha Khadka, 26, from Baghdol; and Singh Prasad Gurung, 49, from Lamjung district," according to police spokesperson Uttam Raj Subedi. "Manandhar and Gurung are receiving treatment at Nepal Mediciti hospital in Nakkhu while Khadka is being treated at Alka hospital in Jawalakhel, He said, adding that the two females suffered minor injuries while a male victim, who was rushed to B&B Hospital in Satdobato is in critical condition.
"A team of IED disposal unit has been deployed at the site,” according to the police.
Though, the Police claimed that it was a minor explosion, it could create major setback to the government that is planning to organise second Nepal Investment Summit on March 28 and 29 in Kathmandu.
A loud explosion was heard in the area around 7:55 pm, according to eyewitnesses, who also said that the glasses of the nearby houses have also been shattered due to the blast. “A team of IED disposal unit has been deployed at the site,” Police added.