Fiscal Nepal
First Business News Portal in English from Nepal
KATHMANDU: Representatives from the American Chamber of Commerce in Nepal (AmCham Nepal) recently sat down with Finance Minister Rameshwor Khanal to discuss ways to bring more American investment into the country. The meeting focused on making it easier for foreign companies to do business here, specifically by fixing policy hurdles and improving digital technology.
AmCham Nepal presented a list of eight key areas where the government can take action. One of the most exciting topics was the potential for Nepal to become a hub for high-tech data centers. Because of Nepal’s cool climate and abundant hydropower, it is actually a perfect place to store digital data. However, the group pointed out that big international companies are hesitant to invest because the rules aren’t clear yet and the internet connection needs to be more reliable.
The group also raised concerns about everyday business struggles, such as the long delays in getting VAT refunds. Right now, businesses are facing a bit of a “paperwork trap.” The central bank has stopped issuing certain verification letters, but the tax office still demands them. This keeps money locked up and hurts a company’s ability to pay its bills. AmCham suggested that the government allow commercial banks to handle this verification to speed things up.
Another important point discussed was renewable energy. Currently, if a company wants to start a solar power project, they have to deal with two different government offices for tax exemptions. This creates confusion and slow-downs. AmCham suggested a “one-door” system where one single office, like the Alternative Energy Promotion Centre, handles everything.
The Finance Minister listened to these suggestions and promised to work with other departments to find solutions. The goal is to create a “pipeline” of projects that are ready for American investors to jump into. AmCham’s President, Kailash Bijayanand, noted that if the government makes these small but important changes, we could see a significant jump in US investment, which means more jobs and better technology for Nepal.
The meeting included several key leaders from the business community, all pushing for a more transparent and “investor-friendly” environment. By working together, the government and the private sector hope to build a stronger, more digital economy.
Your email address will not be published. Required fields are marked *
Comment *
Name *
Email *
Website
Save my name, email, and website in this browser for the next time I comment.
