The government has received foreign direct investment (FDI) commitments worth Rs. 60.60 billion during the first 11 months of the current fiscal year 2024/25.

According to a report of the Department of Industry, foreign investors have made their commitment to invest around Rs. 60.60 billion for 717 projects during the first 11 months of the current fiscal year (from July 15, 2024 to June 14, 2025) of the current fiscal year.

Along with this, such commitment so far has reached Rs. 590.35 billion from the beginning. According to the Department, about 141 industries were registered in the month of Jestha (from May 15 to June 14) and investment commitments worth Rs. 3.54 billion was received during the same period.

During the review period of the current fiscal year, out of total FDI commitment, the FDI commitment of Rs. 56.74 billion for 347 projects has been received through the approval route.

Similarly, Rs. 3.86 billion for 370 industries has been received through the automatic route during the first 11 months of the current fiscal year.

So far, FDI commitment worth Rs. 11.98 billion for 509 industries has come through the automatic route. The government started to approve investment through this method since October 2023.

The government of Nepal streamlined the process for approving foreign investments of up to Rs. 500 million through the automatic route.

Small industries dominate

Meanwhile, most of the FDI is focused on small industries. Only six large industries have been registered with nine medium-size ones in the first 11 months of the current fiscal year.

During the same period, 702 small-scale industries were registered. Category-wise, most attraction of foreign investment is seen in the information and communication technology sector.

A total of 313 industries have been registered in information and communication technology sector. This accounts for 43 per cent of the total number of industry registration under FDI.

Likewise, 266 industries are registered in tourism sector, second highest after ICT sector. This is 37 per cent share of the total number. Similarly, 76 industries are registered in service, 27 industries in manufacturing and 11 in agriculture related industries.

During the review period, only two industries have been registered in infrastructure and one in energy sector.

In terms of the value of committed investments, the service sector led with Rs. 30.44 billion, followed by the tourism sector with Rs. 23.94 billion.

Similarly, manufacturing sector accounted for Rs. 3.12 billion, ICT sector Rs. 1.57 billion and agriculture-related industries Rs. 1.44 billion. Infrastructure and energy received the lowest commitments, with Rs. 50 million and Rs. 25 million, respectively.

FDI approved industries during the first 11 months of the current fiscal year have made their commitment to provide jobs to 17,255 people.