Nepal’s policies on Foreign Direct Investment (FDI) are supportive, and the market offers significant opportunities for investors. Successful examples like Unilever and Dabur prove that the investment environment is favorable—otherwise, they wouldn’t have thrived here for so long.

However, like any country, Nepal faces policy and implementation challenges. For example, although the Income Tax Act permits companies to offset losses from one business against profits from another, practical challenges often prevent them from taking advantage of this provision.

Another issue is intellectual property (IP) protection. Many globally recognized Nepali brands, such as Aashirvaad, Candyman, and Classmate, are popular in India but cannot operate in Nepal because their trademarks have been registered by others here in Nepal. Stronger IP safeguards would boost investor confidence and attract more FDI.

The competitive landscape in Nepal is healthy, with no discrimination against foreign investors. Moving forward, FDI companies can play a key role in promoting Nepal’s unique products in global markets, unlocking immense export potential.

(Excerpts from remarks by Ravi Rayavaram, Managing Director of Surya Nepal and Vice President of Nepal India Chamber of Commerce and Industry (NICCI), at a discussion on FDI organized by Nepalkhabar.)

It was originally published on nepalkhabar.