You are on page 1of 14

DIRECT INVESTMENT PRESENTED BY

BABULAL KHATRI
Foreign Direct Investment(FDI) is an investment that is made by individual or any
institution, organization locating their own business of own from one country to
another.

• Generally In FDI an investor establish foreign business operations or acquires foreign business
assets

• It include establishment of ownership or controlling interest in foreign company


How are foreign employment done ?
it can be made in varieties of ways:
• Opening of Subsidiary and Associate in foreign land
• Merge company with foreign company
• In the joint venture with renowned or small foreign industry
• Threshold for foreign investment may establish a controlling interest, per
guidelines that has been establishes by OECD(organization of economic
cooperation and Development)
• Minimum 10% stake in foreign based company
TYPES OF FOREIGN INVESTMENT

• Horizontal
• Vertical
• Conglomerate
FDI IN NEPAL

 History of foreign investment in Nepal begin from the establishment of Biratnagar jute mill in
1936.

 In the post 1990 market liberization has played a vital role in foreign investment
 But the trend unfortunately could not continue, as the post 1990 government didn’t realize that
the free market economy couldn’t survive only on political foundation, without social foundation
it become meaningless.
FDI IN NEPAL
Foreign direct investment data
WHICH AREA DO FDI CAN INVEST IN
NEPAL ?

• Profitable areas of investment include hydropower, industrial manufacturing, services, tourism,


construction, agriculture, minerals and energy.
TYPES OF FOREIGN INVESTOR

• Foreign instutional investor


• Non resident Nepalis
• Foreign individual investor
INVESTMENT OPPORTUNITIES IN NEPAL

• More fertile land


• Tourism investment
• Hydropower
• Outsourcing from U.S, Europe and Australia
• Medical tourism
FOREIGN INVESTMENT COMMITMENT
IN NEPAL
Importance

■ Economic development
■ Sustainable development
 THANK YOU 

•ANY QUERIES ? ?

You might also like