Saturday, December 6, 2025

Minister Sinha underscores risk minimisation in business

Kathmandu, Dec. 3

Minister for Industry, Commerce and Supplies Anil Kumar Sinha has expressed serious concerns over capital flight and said that risks for business should be minimised to encourage investment within the country.

"Investors want security and good return on investment. But various risks existing within the country have discouraged local investment," he said while addressing a seminar on 'National Action Plan on Business and Human Rights (BHR) for responsible business conduct and good governance' organised by the National Business Initiative (NBI) in Kathmandu on Wednesday.

According to him, some investors have said that although they wanted to invest in Nepal, prevailing uncertainty and insecurity had forced them to take the capital out of the country and expand business in other countries.

"Businesses must earn profits. There won't be any business without profit but it should be reasonable and guided by ethics and social responsibility," he said.

Minister Sinha said that although the country has formulated the National Action Plan on BHR, its sincere implementation is challenging.

He stated that it is a national agenda and common responsibility of all to conduct business responsibly with consideration to labourer, society, environment and quality of products.

He appreciated the private sector for its steady contribution to employment and economic growth during various political and natural challenges including the armed conflict, earthquake and COVID-19 pandemic.

"We are putting efforts to create positive and conducive environment not only for election but also for investment and business. I would like to urge the private sector offer donations remaining within rules and ethics," he said.

Stating that BHR is economic and strategic policy, Minister Sinha said, "Where there is lack of good governance and transparency, trust erodes and risk to investment and security increases."

Earlier, the human rights were limited only between the state and its citizens but now it has entered the domain of business. This is the need of time as it guides the business relations with the community, consumer, workers and environment, said the Minister.

President of the NBI Kush Kumar Joshi said that businesses must have rights to run peacefully and must be responsible to the society.

"Prosperity is not possible without peace and without peace prosperity can't be sustained," he said while adding that the recent political turmoil has reinforced that good governance must be promoted everywhere and serious attention should be paid to the demands of the youth.

Joshi said that Private sector has employed more than 5 million people and has moved ahead together with the government during the difficult times including natural disasters but it is yet to earn the respect and prestige

"We want to support the government in the upcoming elections wholeheartedly but we must be protected from the forceful donations and extortions in the name of election and political campaigns," he stated.

Deputy Resident Representative of UNDP in Nepal Julian Chevillard said that currently livelihood and long-term investments are at risk in Nepal. "However, it is encouraging to see the progress on BHR NAP so far especially coinciding with the graduation of Nepal from an LDC to a developing nation," he said.

Chief Commissioner of the National Human Rights Commission Top Bahadur Magar stressed that the rights of all stakeholders must be protected while there should be minimal damage to the environment.

"The state and business both should be proactive to the protection of the right of indigenous communities," he said.

Joint Secretary of the Ministry of Labour, Employment and Social Security (MoLESS) Nischal Raj Pandey said that following recent vandalism on businesses, there is a realisation that they should be proactive in risk mitigation rather exhibiting reactive initiatives. 

Published in The Rising Nepal daily on 4 December 2025.

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