Foreign Direct Investment (FDI) inflow has increased impressively in the first quarter of the current fiscal year (FY).
According to the Nepal Rastra Bank (NRB) first-quarter report, actual FDI inflow jumped up by 81 per cent in comparison to the same period of the previous FY.
The actual foreign investment made in the first quarter of the current FY recorded Rs. 5.3 billion up from Rs. 2.9 billion of the same period of the previous FY quarter. It should be noted here that the FDI commitment for the same period was Rs. 24 billion
However, the foreign investment had hit the rock bottom with 26 per cent slid in the same period of the previous FY.
The NRB report revealed that the inflow sild to Rs. 2.9 billion in the first quarter of FY 2020/21 from Rs. 3.9 billion of the same period of FY 2019/20.
Meanwhile, the foreign investment reports in the first quarter of the current FY got started with unprecedentedly up beating scenarios filled with the green indicators in the various indices.
The first-quarter report of the Department of Industry recorded the foreign investment commitment of Rs. 24 billion from the 107 approvals. Similarly, the NRB data showed that there is a consecutive rise in the inflow of foreign investment in the first month, second and third month with the amount of Rs. 706.6 million, Rs. 2568.1 million and Rs. 2027.6 million respectively in the current FY.
The spokesperson of the Investment Board Nepal, Sudrendra Paudel, said that the rising trend of foreign investment can be attributable to the high internal rate of return. He further informed that the investment board has permitted Arun III to raise the amount of capital of Rs. 62.26 billion and approved an Indian Company- Kamper Finance Company- to invest Rs. 264 million in the Samrat Cement Company in the first quarter of the current FY.
Source : TRN,
