The Nepalese government has announced that it will reduce the minimum amount foreigners can invest in the Himalayan nation by 60%.
Presenting the annual budget for the financial year 2022-23 which starts mid-July in the House of Representatives, Finance Minister Janardan Sharma said the minimum threshold for foreign direct investment (FDI) will be lowered to NPR 20 million ($160,760) from the existing 50 million MPR, reports Xinhua News Agency
He noted that this move was aimed at attracting more FDI to the country.
In May 2019, the government increased the threshold by 10 times from MPR 5 million, on the grounds that the concentration of foreign investment in small businesses was affecting those in Nepal.
Pashupati Murarka, former president of the Federation of Nepalese Chambers of Commerce and Industry, told Xinhua that the government’s decision could help attract more foreign investment to the country, even in small and medium enterprises.
(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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