Politics of violence no longer possible in Nepal: PM Oli

Kathmandu, Aug. 31

Prime Minister KP Sharma Oli has said that violent activities like in the past decades cannot and will not be allowed to happen in Nepal.

Addressing the launch of the book 'Into the Fire: A Book Based on Hard Facts' written by Captain Rameshwar Thapa on Saturday in the capital, Prime Minister Oli disagreed with a statement made by the CPN (Maoist Center) Chairman Pushpa Kamal Dahal 'Prachanda' that Nepal should learn from the situation in Sri Lanka or Bangladesh, and added that Nepal was not a 'photocopy' of any country.

According to him, it is not possible to have similar activities in Nepal.

"Nepal has its own identity, civilisation and culture. What happened in Bangladesh does not happen here. We are going to strengthen the democracy and constitution that we fought for. It is not possible for those who fight against democracy to make us suffer. It won’t be allowed to happen,” said PM Oli.

"I would like to say to those who loudly call us to learn from the events elsewhere, the politics of chaos, anarchy and violence is no longer possible in Nepal. It is not possible,” he added.

Recalling that during the 'indiscriminate' violent activities of the Maoists, PM Oli said that he strongly opposed the violence and initiated negotiations for a political solution. So, the state will legally stop any activity or chaos that violates the rights of others in the democratic system, he maintained.

“Have I killed 17,000 people to get scared? Is it possible for those who fight against democracy to threaten us?” he asked.

He opined that since human beings have created politics and political parties for the order of society, efforts to spread hatred towards politics will lead the society towards a lack of culture, chaos and disorder. "The current government will not do injustice to and oppress anyone.”

According to PM Oli, in a democratic society. one does not do anything wrong for his interests and defense, but if someone acts against the interests of the people, one should work to maintain peace and security and respect according to the rule of law. The laws should be implemented judiciously, he noted.

He also said that democracy should be the way of life for the government and everyone else and he is in favour of a perfect democracy.

Prime Minister Oli reiterated his resolve not to be greedy for property other than his lawful earnings, not to commit immoral acts, not to knowingly tell lies, not to harm others, not to engage in corruption and not allow to do it.

He said that he is trying to raise the country from the vicious cycle of poverty by improving the economy while the country's economy is fragile.

President of the Nepali Congress and former Prime Minister, Sher Bahadur Deuba also attended the programme. PM Oli, NC President Deuba and Balguru Aditya jointly launched the book.

Deuba appreciated Thapa for taking important initiatives in Nepal's peace process, political stability and development even at risk of his life.

Published in The Rising Nepal daily on 1 September 2024.        

FDI inflows fall by a two-thirds in 2022/23

Foreign investment stock reaches 295 billion, India top contributor

 

Kathmandu, Aug. 30

The total Foreign Direct Investment (FDI) stock in Nepal has increased by 11.8 per cent in the Fiscal Year 2022/23  and reached Rs. 295.5 billion but the net FDI inflows to the country has gone down by 67.9 per cent to Rs. 6.0 billion from Rs. 18.6 billion in 2022/23.

Such inflows amounted to Rs. 19.5 billion each in 2021/22 and 2020/21, which were the highest FDI amount received by the country so far. 

Of the total foreign investment received by Nepal in 2022/23, the share of paid-up capital was 52.8 per cent, reserves were 33.7 per cent, and the share of loans was 13.5 per cent, concluded 'Survey Report on Foreign Direct Investment 2079/80' published by the Nepal Rastra Bank (NRB) on Friday.

Similarly, by mid-July 2023, Nepal received FDI from at least 58 countries. Out of them, India is the largest investor with an FDI of Rs.103.45 billion which makes about 35 per cent of the total foreign investment in Nepal. Likewise, Chinese FDI in Nepal stands at Rs. 35.46 billion (12 per cent) while Ireland is in the third position with Rs.22.62 billion (7.7 per cent) investment.

Other top FDI sources for Nepal are Australia Rs. 19.6 billion (6.4 per cent) and Singapore Rs. 18.81 billion (6.4 per cent).

Similarly, the West Indies, South Korea, the United Arab Emirates, the United States of America and Hong Kong are other big contributors.

 

Likewise, 59.7 per cent of the total FDI stock in Nepal is in the industrial sector and 40.2 per cent is in the service sector. Under the industrial sector, 30 per cent of foreign investment is in the hydropower sector and 29.4 per cent is mobilised in the manufacturing sector, read the NRB report.

"Similarly, 26 per cent of the total FDI is in banks and financial institutions and insurance companies under the service sector," it said.

On a provincial basis, Bagmati Province has received the highest FDI in Nepal with about 59.7 per cent FDI mobilised to this province.

The FDI in Gandaki Province is 15.1 per cent, Koshi Province 14.7 per cent, and Madhes Province 8.8 per cent. The FDI in Lumbini, Karnali and Sudurpaschim provinces is less than 1 per cent.

According to the NRB, it has been found that the capacity utilisation of FDI-operated manufacturing companies is 60.69 per cent, while the return on equity is found to be around 11.61 per cent.

 Meanwhile, in line with the global trend, gross FDI inflows decreased by 59.6 per cent to Rs.7.8 billion in 2022/23. The divestment of foreign investment (repatriation of investment) during 2022/23 remained at Rs.1807.3 million which is around 23.3 per cent of gross FDI inflows, informed the report.

To collect necessary data related to FDI and provide assistance in the formulation of necessary policies based on the sectorial situation and trend analysis of such investment, the Department of Economic Research has been publishing annual FDI status reports.

For the survey of the last FY, 238 companies were selected from the institutions established and operated with the FDI. 

Published in The Rising Nepal daily on 31 August 2024.        

Preparations begin to set up Agro Venture Capital

Kathmandu, Aug. 29

With the aim to fill the gap of venture capital in agriculture enterprises in Nepal, Nexgen Management Solutions Pvt. Ltd. is planning to launch an Agro Venture Capital. A feasibility study of the proposed company has already been completed.

"The establishment of Agro Venture Capital is being prepared with the aim of developing and expanding the industrial business based on agricultural raw materials and finished goods produced in Nepal," said the company in a statement on Thursday.

Nexgen Management has initiated preparations for setting up agro venture capital after multiple rounds of discussions and feasibility studies with former bankers, former heads of regulatory bodies, agricultural experts and agribusinesses. They include former Governor of the Nepal Rastra Bank, Dr. Chiranjibi Nepal, former secretary of the Ministry of Agriculture and Livestock Development, Yogendra Kumar Karki, former chairman of Insurance Board, Devendra Pratap Shah, and former bankers Ramesh Kumar Bhattarai and Janak Sharma.

The proposed company will be called Nepal Agro Venture Capital Ltd. will have the paid-up capital of Rs. 500 million which will be increased to Rs. 1 billion within a year from the start of its operation.

About 85 per cent of the shares of the company will be allotted to the founders and 15 per cent will be sold to the general public. Likewise, 45 per cent of the founder shares will be for bank insurance and the institutions listed at the stock exchange while 40 per cent will be allocated for individuals and private companies.

The proposed venture capital company will have a seven-member board of directors. There will be five members from the founders, one member from the general public and one independent director.

Chairman of Nexgen Management, Ramesh Kumar Bhattarai said that although foreign and domestic venture capital are operating in Nepal, there is no separate venture capital to assist in the establishment, operation and promotion of agricultural raw materials and ready-made products which creates need for a company of this nature.

The government has given an attractive and loud slogan to develop and expand the agricultural sector, but nothing has been done. That's why we want to do it through venture capital in order to make efforts from the public and private sector as well, he said.

Bhattarai believes that by taking the approval from the Securities Board and raising sector-wise funds and investing in agriculture as a priority, the business of other sectors can also be invested and expanded in the same way.

Nepal is an agricultural country, more than 65 per cent of the people depend on agriculture, the contribution of agriculture to the national economy is more than 24 per cent.

"Development of the country is not possible without the development of the agricultural sector. To increase the standard of living and purchasing power of the people, there must be development of agricultural production and agriculture-based industries. But the investment in agriculture has not been as expected," reads the statement. 

Published in The Rising Nepal daily on 30 August 2024.        

Japan government to provide Rs. 423 million grants for JDS scholarship

Kathmandu, Aug. 29

The Japanese government is going to provide grant assistance worth about Rs. 423 million (454 million Japanese yen) to the Nepal government under the Human Resource Development Scholarship (JDS) project.

Secretary of the Ministry of Finance (MoF), Dr. Ram Prasad Ghimire and Japanese Ambassador to Nepal, Kikuta Yutaka, signed the letter on behalf of their respective governments on Wednesday at a programme organised at the MoF in Singha Durbar.

Under the scholarship programme, competitive young officers of the Government of Nepal will get the opportunity to study at various universities in Japan for two years at Masters's level, and three years at PhD level. The scholarship programme, which has been available since 2016, has already benefitted 165 students, and under the new agreement, an additional 22 students will receive scholarships for their studies.

Speaking after signing the agreement, Dr. Ghimire expressed his belief that the scholarship programme would enhance the capacity of Nepal's civil service. Mentioning that the knowledge and skills acquired by the civil service employees would improve the delivery of public services and contribute to the socio-economic development of Nepal, he said that it would contribute to strengthening the bilateral relations between Nepal and Japan.

Ambassador Kikuta expressed his belief that the JDS graduates would have a significant impact on the development of Nepal and would further strengthen the long-standing cooperative relationship between the two countries.

Officials from the Ministry of Finance, Japanese Embassy in Kathmandu and officials from JICA Nepal were also present at the signing ceremony.

Published in The Rising Nepal daily on 30 August 2024.        

Govt plans to complete exploration of five critical minerals within this fiscal

Kathmandu, Aug. 29

The government is set to complete the exploration of five industrial minerals in various locations across the country within current Fiscal Year 2024/25.

According to the Reform Action Plan of the Ministry of Industry, Commerce and Supplies (MoICS), 2081 published by the ministry on Wednesday, exploration of limestone, dolomite, kaolin, phosphorite and iron will be completed by the end of this fiscal, mid-July 2025.

The Department of Mines and Geology (DMG) said that these are the products that have the potential to propel industrial development so the exploration work will be conducted by the internal technicians and engineers.

"The Department has allocated budget for the exploration of these minerals. Since primary study on the feasibility of exploration and deposits has already been conducted, further work can be conducted on time," said Narayan Banskota, Senior Divisional Geologist of the DMG.

Currently iron extraction is being conducted in Dhaubadi of Nawalparasi (East) by the state-run company Dhaubadi Iron Company Limited. Further exploration of iron will be conducted in Rukum (East).

Likewise, the country has iron deposits in Jelbang of Rolpa, Jhumlabang of Rukum (East) and Those of Ramechhap. However, Jumlabang is said to have more than 200 million tonnes of hematite deposit, making it a lucrative project for mining and industries.

The DMG is in the final stage of conducting the chemical test of the iron retrieved from the site in Rukum (East).

Exploration of dolomite will be conducted in Dhading and Tanahun districts, and additional study on phosporite exploration will be taken up in Baitadi district. Dolomite is used in cement and bitumen mixes instead of limestone while phosporite is used in animal feed, detergents, fertilisers, herbicides and other industrial products.

Similarly, limestone exploration is underway in Udayapur district which has a reputation of having a high quality of the product. The exploration site is nearby Jaljale, where the limestone mine of the Udayapur Cement Industry is located.

Likewise, kaolin exploration will be completed in various areas of Madhes Province and other Tarai districts, informed Baskota. Kaolin is a kind of clay that is used in making tiles and similar products.

Meanwhile, the Action Plan of the MoICS, has set out the plan to complete the petroleum drilling work in Dailekh, prepare the Detailed Project Report (DPR) of the Dhaubadi iron mine, and complete petroleum exploration in other blocks within this year.

Nepal has 10 identified petroleum exploration blocks – Dhangadhi, Karnali, Nepalgunj, Lumbini, Chitwan, Birgunj, Malangawa, Janakpur, Rajbiraj and Biratnagar, which are assigned with number from 1 to 10, respectively.

The MoICS is also set to issue license for the six mineral sites that have the deposits of limestone, iron and copper oars.

To expedite the industrial development, the Ministry has laid out the plans to implement various development works at the proposed new industrial zones including Laxmipur, Daiji, Naubasta, Motipur, Shaktikhor and Mahurdhap, and Special Economic Zones (SEZ) in Panchkhal of Kavre and Simara of Bara.

"A proposal will be forwarded to lease out the SEZ in Panchkhal and Simara (Block B and C) to operate them in public-private-partnership model," mentions the action plan.

It has also  proposed the formulation of various policy and legal instruments for micro, cottage and small enterprise, startups, industrial villages, business incubators, inustrial investment promotion and corporate social responsibility. Standardisation rules wil be implemented for the use of raw materials, contract manufacturing and production and branding of micro-brewaries.

In terms of trade facilitaion, a master plan for trade logistics will be formulated. Dry port at Timure in Rasuwa and Integrated Check Post at the Nepal-India border in Bhairahawa will be completed.

Likewise, the country will prepare a strategy for trade promotion in at least three countries, conduct bilateral dialogue with India to review the Trade Treaty, sign trade agreements with Bangladesh and Bhutan, and sign trade and investment framework agreements with South Korea and Vietnam.

Published in The Rising Nepal daily on 30 August 2024.        

STLRP of NTB receives PATA Gold Award

 Kathmandu, Aug. 29

The Sustainable Tourism Livelihood Restoration Project (STLRP) operated in collaboration with the Nepal Tourism Board (NTB) and the United Nations Development Programme (UNDP) has received the Pacific Asia Travel Association (PATA) Gold Award for the third time.

In a programme organised by the PATA in Thailand on Wednesday, PATA President Peter Semone handed over the award to the Project Manager of STLRP Dharma Dawadi, NTB informed in a statement on Thursday.

The project has been awarded the PATA Gold Award for 2024 in the Community-Based Tourism category. "The project has received this award because it has created tourism employment opportunities and increased capacity in sustainable tourism development by building tourist destinations in various locations in collaboration with seven provinces, 58 districts and 85 town/village municipalities of Nepal," read the statement.

The STLRP project had previously received the PATA Gold Award in 2022 and 2023.

It received the PATA Gold Award in 2023 for its initiatives in women empowerment through tourism, sustainability and social responsibility and was conferred the PATA Gold Award in 2022 under Tourism Destination Resilience category.

Shraddha Shrestha, manager of the NTB and national program coordinator, informed that the project created short-term jobs for around 10,000 tourism workers and provided capacity-building training for 4,000 people after COVID-19.

During this period, the project ran programmes for river guides for women, trekking guides for sexual minorities, and tourism strategy development in 150 municipalities in all seven provinces. 

Published in The Rising Nepal daily on 30 August 2024.        

Japan hands over medical equipment to Koshi Hospital

Kathmandu, Aug. 31

The Government of Japan handed over advanced ophthalmological medical equipment to Koshi Hospital in Biratnagar Metropolitan City of Morang District.

Under the Grant Assistance for Grassroots Human Security Projects (GGP) of Japan, the Project for the Installation of Medical Equipment for Patients with Cataract and Glaucoma at Koshi Hospital was supported with USD 142,568 (approximately Rs. 16 million), informed the Embassy of Japan in Kathmandu.

According to it, this initiative aims to enhance the quality of eye care services not only for the residents of Morang District but also for neighbouring districts such as Sunsari, Ilam, Dhankuta and Terhathum.

Speaking on the occasion, Tamura Takahiro, Deputy Chief of Mission of the Embassy, expressed his appreciation for the efforts of all those involved in the project.

He said that this project will help to reduce barriers in daily life and psychological anxiety of the patients with visual impairment as well as the financial burden on their families. He also mentioned his hope that the hospital will significantly improve its capabilities to solve the problems of eye ailments by using advanced medical equipment.

Since its establishment in 1890, Koshi Hospital has been a vital healthcare institution in Eastern Nepal, serving approximately 300,000 patients annually. The growing number of eye-related problems in Nepal, including cataracts and glaucoma, underlines the critical need for improved eye care services. This project will be instrumental in providing timely and effective treatment, particularly for those facing economic challenges.

“The Embassy of Japan hopes that this project will contribute to the development of eye care services and promote healthier living for the residents in Eastern Nepal. We also believe that it will further strengthen the enduring friendship between the people of Japan and Nepal,” read the statement by the Embassy.

GGP was established to implement projects that directly benefit people at the grassroots level for the socio-economic development of communities. Since 1991, over 200 GGP projects have been implemented in Nepal.

Published in The Rising Nepal daily on 1 September 2024.