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Home Prime News

Nepal Sees 50% Surge in FDI Pledges in First Seven Months of Fiscal Year

CEO Tab by CEO Tab
February 16, 2026
in Prime News
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FDI commitment declined 60% during five months
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Nepal secured foreign direct investment (FDI) pledges worth Rs 40.28 billion in the first seven months of the current fiscal year, marking a 50 percent increase compared to the same period last year.

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According to records from the Department of Industry (DoI), the pledged amount was Rs 13.44 billion higher than the Rs 26.84 billion committed during the corresponding period of FY 2024/25. Foreign investors received approval to channel funds into 524 projects, the majority of which fall under small-scale industries.

Between mid-July 2025 and February 12, 2026, investors pledged Rs 21.90 billion for 14 agricultural projects. The tourism sector attracted Rs 10.86 billion across 150 projects, while 35 manufacturing ventures secured Rs 2.40 billion in commitments.

In the service sector, 34 projects received pledges totaling Rs 3.54 billion. The information technology sector drew Rs 1.25 billion for 288 projects. Additionally, investors committed Rs 115 million to two mining projects and Rs 184.25 million to one energy-related venture.

Of the total pledged amount, Rs 3.25 billion was approved through the automatic route, while the remaining Rs 37.03 billion went through the manual approval process. The approved FDI-backed projects are expected to generate 20,896 jobs. In the last month alone, Rs 1.04 billion was pledged for 49 projects.

The government has been actively working to attract higher levels of FDI, though challenges remain. In a recent policy change, authorities removed the Rs 100 million cap on FDI inflows through online platforms to encourage greater foreign participation.

Meanwhile, as of last Thursday of the current fiscal year, foreign investors repatriated Rs 4.19 billion in royalties. They also transferred Rs 16.26 billion in dividends and Rs 100 million in service fees back to their home countries.

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