IDPs appreciate the govt. for investment environment

Kathmandu, Apr. 20: International Development Partners and Diplomats Thursday appreciated the government for its efforts to improve the investment environment in the country.

Speaking at an interaction organised by the Ministry of Industry (MoI) at Singha Durbar they said that the country had made tremendous progress in terms of policy reforms and political commitment to create business-friendly environment.

“Due to the recent reform initiatives, many Japanese businessmen have shown their interest in investing here. They are consulting with us,” said Japanese ambassador to Nepal Masasi Ogawa.

However, he urged the government to improve the decision making process since it was very slow.

According him, investors should be provided services faster than the neighbouring countries, if the country had to draw direct foreign investment (FDI).

Deputy Chief of Mission at the Embassy of the United States of America Michael C. Gonzales said that he believed that the Ministry delivered what it said.

He expected that through upcoming three elections, Nepal would enter into the new era of policy stability which would attract more FDI.

“But, many foreign investors are waiting for the enactment of the Foreign Investment and Technology Transfer Act (FITTA). Similarly, important is to implement Labour Act Amendment Bill, Land Use Act Bill and Agro-Business Promotion Bill,” he said.

The FITTA bill has been sent to the Ministry of Law for its inputs and will be sent to the Cabinet.

It has features like equal treatment to the foreign investors, easy procedure, guarantee of repatriation and incentives for FDI.

Saeed Hamdan al Naqbi, ambassador of the United Arab Emirates to Nepal, said that the clear political commitment from the major political parties had encouraged the investors in the Gulf to come here.

Deputy country director of the United Nations Development Programme (UNDP) Sophie Kemkhadze said the rural economy in the country needed a serious consideration for its development through micro-enterprise promotion.

“The government should give priority to the micro and cottage enterprise and support it through development plans and market linkage programmes,” she said.

Minister for Industry Nabindra Raj Joshi said that the government had enacted one-door service at the Department of Industry and working to facilitate the investors through various ways.

“The government has initiated the second generation reforms in order to revitalize private sector industries and create amount of job opportunities within the country to retain our future generations,” he said.

According to Joshi, the second generation reform was forwarded through the MoI to create the base for industrialization with the FDI as major source of capital.

The MoI is also working on regulations for the Industrial Enterprise, SEZ (Special Economic Zone), Technology Development Fund and Petroleum, while National Mines Policy and Quality Control Act are sent to the Cabinet for conceptual approval.

Joint secretary at the Ministry Pradip Koirala stated that the Ministry was working on five priorities – job creation for all Nepali youth within 10 years, creation of investment-friendly environment, development and promotion of micro, small and medium enterprises, development of industrial infrastructure, and achieving equitable economic prosperity and rural transformation.