Nepal-China Business Summit held in Beijing

KATHMANDU, NOVEMBER 4 : Nepal's government and private sector both have committed to ongoing reforms to attract foreign investments, including those from China. They did so while speaking at the Nepal-China Business Summit held jointly in Beijing, China by the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), the China Council for the Promotion of International Trade (CCPIT), and the Nepali Embassy.

The chief guest of the event was Prime Minister KP Sharma Oli, who is currently on an official visit to the northern neighbour.  Speaking at the program, he highlighted the improving investment climate in Nepal. He encouraged foreign investments, citing the country’s potential in various sectors. According to to him, Nepal's historic ties with China, have fostered economic cooperation, and mutual efforts are key to realizing further development.

The Prime Minister stressed the importance of collaboration between the government and the private sector in creating a business-friendly environment. He described the private sector as the backbone of Nepal’s economy and assured investors of the government's commitment to protecting both domestic and foreign investments. He also commended FNCCI for its proactive role in promoting investment, tourism, and exports internationally.

While China remains Nepal’s largest foreign investor and its second-largest trading partner, the trade imbalance between the two nations remains a challenge. So, Prime Minister Oli urged initiatives to facilitate trade by expanding the market for Nepalese agricultural products in China.

Speaking at the summit, Chinese Vice Minister of Commerce Ling Ji acknowledged the long-standing relationship between Nepal and China and highlighted the increasing economic engagements between the two countries. He assured Nepal of China’s continued investment in key sectors and noted that future collaboration would further strengthen economic ties.

Ling Ji also highlighted that China, as Nepal’s second-largest trading partner, is working to enhance transit trade through its territory to other markets. He emphasized that Nepal would benefit from China’s upcoming tariff-free access for products from least-developed countries, starting in December.China is Nepal’s largest investment pledger and the second-largest in actual investments.

Speaking on the same occasion, FNCCI President Chandra Prasad Dhakal shared the progress made in improving Nepal's business environment over the past year. He noted that, at FNCCI’s request, the government had amended eight investment-related laws and prepared a draft bilateral investment agreement.

Dhakal also highlighted Nepal’s first-ever credit rating, which ranks among the best in South Asia after India. This, he said, has created a more secure environment for investors. He stressed the need for active collaboration between the governments and private sectors of both countries to improve infrastructure in border areas and establish direct flights from China to airports in Bhairahawa and Pokhara.

Dhakal emphasized Nepal's untapped potential in hydropower, tourism, manufacturing, and information technology. He noted growing interest from foreign investors in tourism infrastructure, such as cable cars, theme parks, and resorts.

The government has already formed a high-level economic reform commission to further enhance the investment climate. In this regard, Dhakal pledged FNCCI’s commitment to facilitating foreign direct investment (FDI) through its dedicated support desk.

The summit also featured remarks by CCPIT Vice Chair Zhang Shaogang, who reiterated CCPIT’s strong partnership with FNCCI. He emphasized the importance of the summit in enhancing bilateral trade and pledged CCPIT’s support in promoting investments in Nepal and importing Nepalese products.

Nepal Investment Board CEO Sushil Gyewali highlighted Nepal’s potential for attracting Chinese investments and reiterated the board’s role in facilitating such endeavors.

The event included 120 Chinese business representatives and about 50 entrepreneurs from Nepal, including members of FNCCI, the Confederation of Nepalese Industries, and the Nepal Chamber of Commerce. The summit also featured high-ranking officials from the Chinese government and Nepal’s delegation. Preceding the summit, a business-to-business meeting was held to foster collaboration.

This was FNCCI’s fourth international summit in the past 18 months, following similar events in Beijing, New Delhi, and Dubai, organized in partnership with CCPIT, the Confederation of Indian Industry, and Dubai Chambers.

 

 

 

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