FNCCI President calls for foreign investment to realize social justice

KATHMANDU, JUNE 12: President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Chandra Prasad Dhakal, has said that Nepali businesses enjoy a strong employer-employee relationship and have not faced significant labour issues in recent years.

In his address to the 112th International Labour Conference underway in Geneva, Switzerland, he stated that the private sector of Nepal diligently follows all ILO regulations and conventions that the government has signed. Moreover, they have independently undertaken numerous initiatives to uphold employee dignity.

"Dignity, in our view, goes beyond proper conduct. It involves enhancing our employees' capacities for personal and professional development, providing them with better opportunities," Dhakal said.

Emphasizing the need for investments to help fulfil the agenda of social justice by creating decent employment opportunities, Dhakal mentioned that Nepal holds immense potential in hydropower production, with huge markets in India and Bangladesh. "We have an agreement with India to buy 10,000 megawatts of electricity and are in the process of signing an agreement with Bangladesh," he said.

Tourism is another vital sector. "Our beautiful hill stations and Himalayas are popular destinations, and the multiplier effect in tourism is substantial, providing livelihood opportunities for the rural population," he added.

The FNCCI Chair shared that the youth population of the country is a valuable asset for investors, especially in the booming ICT sector, which offers decent work opportunities for youth on a large scale.

"Nepal, situated between India and China, offers duty-free market access to India, which will continue even after graduation from the Least Developed Country category," he said. "This facility will be available in the EU market until 2029, and we are negotiating similar access with China and other markets. This positioning allows for production in Nepal with export potential worldwide."

"The Cabinet has approved the Bilateral Investment Agreement Framework, and we are ready to sign agreements with interested countries. The budget also promises to sign Double Taxation Avoidance Agreements (DTAA) with potential countries," he continued.

The FNCCI is the largest private sector umbrella organization in Nepal, representing around 600,000 businesses.