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      China commits highest FDI in 2012-13: Nepal

      2013-08-21 10:14 Xinhua Web Editor: qindexing
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      Investors from China have committed a largest sum of foreign direct investment (FDI) in Nepal, a recently released data by the Nepal government showed.

      According to the governmental data, China alone committed 30.89 percent of the total amount committed by foreign investors under FDI in the fiscal year (FY) 2012-13 (Nepali fiscal year 2069-70).

      The Himalayan country received FDI worth Rs 19.39 billion ($190.98 million)in the last fiscal year, up from Rs 7.90 billion during the FY 2011- 12.

      Nepal's Department of Industry (DoI), a governmental agency that registers all sorts of investment projects, said investors from the northern neighbor committed a total of Rs 5.99 billion.

      This is the first time that the investment commitment from China surpassed the investment commitment from India, Nepal's southern neighbor that had dominated the FDI commitment list until the FY 2011-12.

      With the registration of 37 investment enterprises, Indian investors committed FDI worth Rs 2.50 billion during the FY 2012- 13.

      Investors from China during the last FY registered 96 investment projects while four projects have been registered by the investors from China's Hong Kong, making a total of 100 investment projects.

      In the FY 2011-12 Chinese investors had committed a total of Rs 1 billion with the registration of 77 industries in Nepal. India however had 3.88 billion with the registration of 24 projects in Nepal. "Since last half decade, the investors from China have largely shifted their attention towards Nepal," Dhruba Lal Rajbanshi, director general at DoI, told Xinhua.

      According to him, the growing commitment from Chinese' investors to bring in their investment projects here is their attempt to tap the 'virgin market' in Nepal which is yet to experience the industrial boom. "Of late China has begun prioritizing Nepal when it comes to the expansion of the investment abroad," Rajesh Kaji Shrestha, president of Nepal China Chamber of Commerce and Industry, told Xinhua.

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