Survey's Report on Foreign Direct Investment; Total Amount of Foreign Direct Investment in Nepal Increased by 14.8% to Stand at Rs 227.95 Arba
The survey's report on foreign direct investment is released.
The Department of Economic Research has been releasing an annual report on the topic of foreign direct investment with the intention of gathering the necessary data pertaining to such investment as well as offering assistance in the formulation of necessary policies based on the sectoral conditions and trend analysis of such investment.
A total of 197 foreign direct investment companies in Nepal operated during the fiscal year 2077–2078. "Survey Report on Foreign Direct Investment, 2077/78" has been developed based on the statistical analysis and other information from the survey that was collected by choosing a sample of enterprises.
According to the survey's findings, the total amount of foreign direct investment in Nepal increased by 14.8% by the end of the fiscal year 2077/78 compared to the prior year and remained at Rs. 227.95 Arba.
Paid-up capital accounts for 53.9% of the total foreign investment, reserves for 31.6% and loans for 14.5%. The total foreign direct investment increased as the share of paid-up capital climbed by 13.7%.
55 nations will have made direct investments in Nepal by the end of Asar 2078. Which includes Singapore with Rs.15.48 Arba, China with Rs.33 Arba, Ireland with Rs.16.48 Arba, and India with Rs.75.81 Arba as the largest direct foreign investment.
60.5% of Nepal's foreign direct investment is in the industrial sector, while 39.4% is in the service industry. Hydropower receives 30.8% of foreign investment in the industrial sector, while manufacturing receives 29.5%. Similarly, banks, financial institutions, and insurance businesses account for 26.9% of all foreign direct investment in the service sector.
The capacity utilization of manufacturing companies with foreign investment was determined to be 64.9% in the year under review, while the rate of profit was found to be around 14.7%.
The full text of the report is freely accessible here or on the bank's website.