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Started 1 week ago · Updated 1 week ago

Foreign Firms Repatriate Record Rs 17.79 Billion, FDI Commitments Decline

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Foreign companies operating in Nepal repatriated a record Rs 17.79 billion in royalties and dividends during the first 10 months of the current fiscal year, an 87 percent increase compared to the same period last year, according to the Department of Industry. Despite this surge in profit repatriation, foreign direct investment (FDI) commitments saw a significant decline of over 20 percent during the same period.

  • The total FDI commitments for the first 10 months of the fiscal year 2025/26 amounted to Rs 45.32 billion for 728 projects, a decrease of Rs 11.74 billion compared to the previous year.
  • In the previous fiscal year 2024/25, foreign companies had repatriated Rs 9.49 billion, and the total annual repatriation for that year was Rs 9.61 billion.
  • The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has urged the government to introduce a transformative budget for fiscal year 2083/84 to address structural economic challenges and stimulate investment.
  • Most foreign investments during the review period were directed towards small-scale industries, with the information technology sector attracting the highest number of registrations.
  • The Inland Revenue Office, Hetauda, collected around Rs 6 billion in revenue during the first 10 months of the current fiscal year, an increase attributed to arrears recovery and market monitoring.

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