Nepal Secures Rs 47.61 Billion in FDI Commitments Over 11 Months

Jun 16, 2026 02:06 PM Merolagani



Nepal's foreign direct investment (FDI) landscape is showing strong momentum, with total investment commitments reaching Rs 47.61 billion during the first 11 months of the current fiscal year (2082/83).

According to the latest monthly report from the Foreign Investment and Technology Transfer Section of the Department of Industry, this capital is spread across 914 approved projects.

Monthly Snapshot: Jestha (Mid-May to Mid-June)

  • Total Approved Investment: Rs 2.29 billion
  • Total New Proposals Approved: 186 projects
  • Job Creation Pledged: 1,221 new jobs

The Rise of the Automatic Route (AR)

The government's newly introduced Automatic Route (AR)—designed to simplify bureaucratic hurdles for foreign investors—is seeing rapid adoption, particularly for smaller ventures. However, traditional regular approval pathways still dominate larger-scale capital inflows.

  • Automatic Route (AR): Accounted for 178 out of 186 projects approved in the month of Jeth alone, bringing in Rs 1.94 billion. Over the 11-month period, the AR facilitated Rs 7.71 billion across 711 industries.
  • Regular Approval Route: Handled just 8 projects in Jeth (worth Rs 34.58 crore), but remains the primary pipeline for major capital. Over 11 months, it brought in Rs 39.90 billion across 203 industries.

The automatic route has become highly popular for rapid, small-scale investments, while mega-projects and multi-investments still rely on traditional department approvals.

Sector-by-Sector Investment Breakdown

While the Information and Communication Technology (ICT) sector saw the highest volume of approved projects, Agriculture and Tourism attracted the lion's share of actual capital.

Sector

Number of Projects

Investment Amount

Share of Total FDI

Agriculture & Forestry

16

Rs 22.08 billion

46%

Tourism

202

Rs 12.99 billion

27%

Services

62

Rs 4.59 billion

10%

Manufacturing

52

Rs 3.57 billion

8%

ICT

577

Rs 2.36 billion

5%

Infrastructure

1

Rs 1.65 billion

~3.5%

Energy

2

Rs 234.25 million

<1%

Minerals

2

Rs 115.00 million

<1%

Scale of Industries: Small Ventures Dominate

Numerically, foreign investment in Nepal remains heavily concentrated in small-scale operations rather than massive industrial plants.

  • Small-Scale Industries: Represent 894 out of the 914 total approved projects (including 183 of the 186 approved just in Jeth).
  • Medium-Scale Industries: 11 projects approved cumulative (3 in Jeth).
  • Large-Scale Industries: 9 projects approved cumulative (0 in Jeth).

Employment, Visas, and Technology Transfer

Beyond capital injection, foreign investments are deeply integrating into Nepal's labor and regulatory framework.

  • Employment Generation: Approved projects over the 11-month period have committed to creating 25,450 jobs for citizens.
  • Business Visas: The Department recommended 1,774 business visas for foreign investors, representatives, and dependents over the last 11 months (including 231 in Jeth alone).
  • Technology Transfer Agreements (TTA): To strengthen local technological capabilities, 48 TTA proposals have been approved this fiscal year (3 in Jeth).