IBN devises plan to lure FDI

The Investment Board of Nepal (IBN) is devising phase-wise programs to attract foreign investment in the country.
“We are holding discussions with top level officials from concerned government agencies to devise programs for attracting foreign direct investment in the country,” Mukunda Paudel, joint secretary at IBN Secretariat, told Republica. “A meeting between top officials and a team of investment experts from India held on Friday discussed on some future measures to be taken by the board.”
The IBN Secretariat has proposed phase-wise programs to attract investment from both local and foreign investors. “In the first phase, we will identify strategic sectors to inject investment," Paudel said, adding that the board would closely work with all stakeholders to identify the strategic sectors.
The IBN, which has been formed under Investment Board Act 2011, has said that it would develop promotional activities after identifying the strategic sectors for investment. "IBN has built institutional capacity over the past one and half years. It´s high time we gave impetus on bringing FDI in the country,” added Paudel.
The government had formed IBN with an ambitious plan to bring FDI worth US$ 1 billion FDI in the first half of the current fiscal year. "We will soon launch different programs to lure foreign investment in the country," Paudel said without elaborating what the programs would be.
Meanwhile, the board is working on adopting the approach that Indian state of Gujrat has adopted in attracting investors for large scale projects. “Two experts involved in Vibrant Gujrat, a program designed for development of the state, are currently in Nepal,” Paudel said, adding, “We held discussion with them on the modalities adopted by them to attract large scale investment.”
The IBN is also implementing five mega hydropower projects - Tamakoshi III (650 MW), Upper Karnali (900 MW), Upper Marshyangdi (600 MW), Arun III (900 MW) and West Seti (750 MW).
Unfortunately, the board, which came into being with the objective to take projects forward in a fast track mode, has not even been able to seal a deal for a single project.