2 Trillion 64 billion Investment from 57 Countries in Nepal, 1 Trillion 65 Billion in the Industrial Sector

Kathmandu. Nepal Central Bank has released the ‘Survey Report on Foreign Direct Investment, 2023/081 on Wednesday. According to which, it is seen that there are more than 2.5 billion investments from 57 countries.

With the aim of collecting the necessary data related to foreign direct investment and providing support in the formulation of necessary policies based on the sectoral situation and trend analysis of such investment, the Department of Economic Research has been conducting on-site surveys related to foreign direct investment and publishing a report every fiscal year.

According to the Central Bank, “Survey Report on Foreign Direct Investment, 2019/020 has been prepared based on the analysis of the statistics and other details obtained from the survey by selecting a sample of 231 companies from the companies operating under foreign direct investment in Nepal in the fiscal year 2019/020

According to the results obtained from the survey, by the end of the financial year 2019/020 the balance of total foreign direct investment in Nepal has increased by 16 percent and remained at 264 billion 33 million rupees. Of the total foreign investment, the share of paid-up capital is 53.7 percent, reserves are 31.7 percent, and the share of loans is 14.6 percent.Similarly, by the end of June 2022, 57 countries have direct foreign investment in Nepal. Out of which, the highest foreign direct investment is 88 billion rupees, 59 million rupees from India, followed by 33 billion rupees, 45 million rupees from China, 20.90 billion rupees from Ireland, 16.7 billion rupees from Singapore and 15.9 billion rupees from St. Kitts and Nevis. has been Of the foreign direct investment in Nepal, 62.6 percent is in the industrial sector and 37.3 percent is in the service sector. Within the industrial sector, there is 32.8 percent foreign investment in the hydropower sector and 29.5 percent in the manufacturing sector. Similarly, 25.6 percent of the total foreign direct investment is in banks and financial institutions and insurance companies under the service sector.It has been found that the capacity utilization of manufacturing companies operated by foreign investment is 71.1 percent, while overall the profit rate of companies operated by foreign investment is about 14.3 percent.