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The amount repatriated by foreign companies operating in Nepal in the form of royalties and dividends surged significantly during the first 10 months of the current fiscal year, reaching Rs. 17.79 billion.

According to the data of the Department of Industry, the repatriation amount increased by 87 per cent compared to the corresponding period of the previous fiscal year.

During the first 10 months of fiscal year 2024/25, foreign companies had repatriated Rs. 9.49 billion.

In the single month of Baisakh alone, foreign investors repatriated Rs. 977 million from Nepal.

The latest figure has already far surpassed the total repatriation recorded in the entire previous fiscal year.

In fiscal year 2024/25, the total amount repatriated by foreign companies in the form of royalties and dividends stood at Rs. 9.61 billion.

The sharp rise in repatriation reflects increased profit distribution and royalty payments by foreign-invested companies operating in the country.

According to the report, total amount repatriated by foreign companies in the form of royalties and dividends stood at Rs. 10.18 billion in the fiscal year 2023/24 and Rs. 13.84 billion in the fiscal year 2022/23.

FDI commitment drops by 20%

The country has received foreign direct investment (FDI) commitments worth Rs. 45.32 billion during the first 10 months of the current fiscal year 2025/26.

According to the Department of Industry, total FDI commitments stood at Rs. 45.32 billion for 728 projects between July 17, 2025 and May 14, 2026 of the current fiscal year.

This marks a decrease of Rs. 11.74 billion, or 20. 57 per cent, compared to the same period last fiscal year.

The government had received foreign direct investment commitment of Rs. 57.06 billion for 576 project during the first 10 months of the last fiscal year.

However, the FDI commitment last fiscal year totaled Rs. 64.96 billion.

The monthly trend shows a sharp fluctuation in investor interest.

Of the total commitments, Rs. 39.55 billion came through the approval route, while Rs. 5.76 billion was invested via the automatic route.

A total of 728 industries were registered with foreign investment, including 533 through the automatic route and 195 through approval.

The FDI commitment worth about Rs. 3.53 billion received in the months of Baishak (from April 14 to May 14, 2026).

Focus on small-scale industries

During the review period, most foreign investments were directed toward small-scale industries.

Out of the total, 711 were small industries, while nine under large-scale categories and eight under medium-scale categories.

Sector-wise, the information and communication technology (ICT) sector attracted the highest number of projects, with 421 registrations accounting for nearly 58 per cent of the total.

The tourism sector followed with 189 projects, representing 26 per cent.

Similarly, 55 industries (7.5 per cent) were registered in the service sector, 42 industries (5.7 per cent) in the manufacturing and 16 industries (2.19 per cent) in the agriculture sector.

During the review period, only two industries each have been registered in mineral and energy sector. And only one industry was registered in infrastructure sector during the first 10 months of the current fiscal year.

However, in terms of investment volume, agriculture topped the list with Rs. 22.08 billion in commitments, followed by tourism with Rs. 12.54 billion.

Service industries attracted Rs. 4.23 billion, while manufacturing secured Rs. 2.70 billion in FDI pledges.

The ICT sector received commitment worth Rs. 1.74 billion, mineral sector worth Rs. 115 million, while the energy sector received Rs. 234 million during the review period.

The industries registered during the period have pledged to create 23,530 jobs.

Of these, industries registered in the month of Baishak alone have committed to generating 948 jobs.

Author: Laxman Kafle