FDI stock hits Rs. 340B, realisation lags
Summary
Nepal’s foreign direct investment stock reached about Rs. 340 billion by the end of FY 2024/25, but actual realisation remained far below approved commitments. India stayed the largest source of FDI, while the central bank said policy reforms and better infrastructure are needed to lift inflows.
Key Points
- Nepal’s FDI stock rose to around Rs. 340 billion by the end of FY 2024/25, up 2.1 per cent year-on-year, according to Nepal Rastra Bank.
- Gross FDI inflows stood at Rs. 12 billion and net inflows at Rs. 7.5 billion after repatriation of investment.
- India remained Nepal’s largest source of FDI, followed by China, Ireland, Australia and Singapore.
- The report said only about 29.6 per cent of approved FDI had been realised since FY 1995/96, citing delays, infrastructure bottlenecks and regulatory hurdles.
