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ECONOMY

Nepal receives FDI pledges of Rs 47.61 billion, a decline from Rs 60.60 billion in 11 months

Nepal received pledges for Foreign Direct Investment (FDI) worth Rs 47.61 billion in 11 months of the current fiscal year (FY) 2025/26, which was less by around Rs 13 billion in the same period of the last FY.
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By REPUBLICA

KATHMANDU, June 16: Nepal received pledges for Foreign Direct Investment (FDI) worth Rs 47.61 billion in 11 months of the current fiscal year (FY) 2025/26, which was less by around Rs 13 billion in the same period of the last FY.



The records with the Department of Industry (DoI) show that FDI commitments received during the review period of the last FY totaled Rs 60.60 billion. The FDI pledges this FY were largely affected by the September 8-9 Gen Z movement and the change in government, according to analysts.


The highest investment commitments, exceeding Rs 20 billion, were received during the period between mid-July and mid-August of 2025, the first month of the current FY. The FDI commitments followed the down trend in the successive months as an impact of the Gen Z movement.  


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According to the DoI, of the total pledged amount, the commitments of Rs 7.71 billion were received through the automatic route and Rs 39.90 billion through the approval route as of Monday. A total of 914 FDI-based firms have been registered during this period.


The pledged amount stood at Rs 2.29 billion last month alone. A total of 186 firms were registered during mid-May and mid-June this FY.


In the review period, a total of 9 large industries, 11 medium industries and 894 small industries received operating licenses from the government. The highest number of investment commitments was recorded in the information technology (IT) related sector.


As of mid-June, 577 IT-based industries were registered. Foreign investors showed interest to inject Rs 2.36 billion in the segment.


Likewise, 202 tourism-oriented industries with commitments of Rs 12.99 billion were registered. The largest investment commitments of Rs 22.08 billion were received in agriculture-based industries. A total of 16 FDI firms were registered in the segment.


Among others, 52 were manufacturing industries, two each in energy and mines, and one was related to physical infrastructure.


 

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