Nepal wants to reap benefit by integrating its economy with China in beneficial way: PM Oli-II

Moreover, the PM said these initiatives promise to create a win-win cooperation in economic and trade sectors. Moreover, they are also critical today to strengthen infrastructure and connectivity in Asia and beyond. "We are ready to make our commensurate efforts to unbundle the package of opportunity by initiating appropriate measures," added the PM. Nepal on new path of economic progress after constitution promulgation PM Oli informed the business community that with the completion of constitution writing process, Nepal now has embarked on the new path of economic development and prosperity. Unleashing the economic potentials of the country is Nepal's top priority. "I am here with you to discuss the ways and means of forging partnership. Nepalese people are eager and ready to contribute to their part for the sake of economic growth, development and prosperity to sustain and consolidate the hard fought political gains," stressed the PM. He expressed the belief that the Nepalese businessmen staying in China could play a pivotal role in further deepening the economic and commercial engagements between our two countries. The Prime Minister went on saying that Nepal's constitution itself laid the policy foundation of encouraging foreign capital and technological investment in areas of import substitution and export promotion and in infra structure development. Nepal pursues liberal economic policy "Nepal is pursuing a liberal economic policy by letting the private sector to take the helm of economic affairs of the country with it as partner for development and promoting public private partnership," he said. In Nepal, there is growing realization that the untapped potentials of the country can be harnessed through the effective mobilization of foreign investment. With a view to improving and facilitating trade and investment, Nepal has reduced tariffs, simplified tax regimes and focused on the development and operation of trade related infrastructure, he added. Similarly, export and import rules and procedures have been made market based, market friendly, open and liberal. Nepal has made several policy provisions for the foreign investors to provide maximum security to their investment. Minimal tax slabs, no income tax on dividends and export earnings as well as exemption of tax, duty and fee on the products, machinery, equipment, tools and raw materials used by an export industry are some of the policy provisions to ensure high return from FDI, he informed the business community. Now the country has adopted the single window facility for the foreign investors as the Prime Minister says. Investment Board established to facilitate large scale investments Investment Board has been established to facilitate large scale investments. Board negotiates projects and provides one window services. Simplified and liberal visa rules apply to investors and their family members. The same rule is applicable to reinvestment. Foreign companies registered in Nepal can purchase, own and sell land. Law in Nepal ensures that no private industry will be nationalized. Industrial relations have been improved. Labour law is being reformed. Both governments considering for cross border facilities Similarly, establishing the cross border economic zones and port facilities helps facilitate commercial activities. Investing within SEZ has multiple benefits that include flexible and investment friendly labour law, the Prime Minister said, adding that government of both countries were actively considering the development of cross border facilities and establishing SEZ near the border. He said the Nepal Government has requested the Chinese side to consider establishing branches of Chinese banks in Nepal to facilitate Chinese investment. Nepal seeking Chinese language training opportunity Nepal is vigorously pursuing the Chinese language training opportunity for Nepalese people both in Nepal and China. This will eventually overcome the communication barriers for our engagements, the Prime Minister said. Every year, there are hundreds of Nepalese students are graduating from Chinese Universities in technical fields. They could be the natural choice for the Chinese investors to expand their business and investment in Nepal, he added. Rate of return is high. Some joint ventures are making decent profit within the short span of time. Location of Nepal is also an advantage that ensures access to market and opportunities. Chinese investors can take benefits of location, cheap labor and production cost to produce some of their products in Nepal. Moreover, such investment naturally enjoys the benefits of preferential schemes offered by developed and developing countries to Nepal. Most of Nepali products enjoy zero tariff in developed and some developing countries. Quick access in vast South Asian market through Nepal Chinese investors can have easy and quick access in vast South Asian market through Nepal. They can make their products cheaper filled with south Asian taste if produced in Nepal. China is our second largest trading partner, 2nd largest source of FDI and important source of tourists. Cross border roads and other connectivity are being improved. Border facilities for trade and other human interactions are improving. Nepal open for investment in almost every sector Our doors are open for investment in almost every sector. These include manufacturing, hydropower, tourism, services, IT, mining and agro based industries. Hydropower could be number one choice. Nepal has massive hydro power generation capacity. Solar, wind and biomass have also good possibility. Chinese investment in mega projects can open up a new chapter in our economic relations. This can have the potential of being a game changer for our common good. Highlighting the sectors for investment carrying high potentiality, he said tourism is an attractive sector for investors in Nepal. Nepal is gifted with beauty of nature and treasures of culture and civilization. Over the years, tourists from China are increasing. With the rising standard of living, more and more Chinese people are looking some natural places for recreation, adventure and spiritual growth, Nepal can be their first destination given the natural beauty, closeness and hospitable people and culture. It is an opportunity to invest in facilities to cater needs of growing number. Nepal is developing regional international airports at two prime touristic hubs of Pokhara and Lumbini. Given the limited resources available in the country to overcome the towering task of development and nation building, we need massive investment in human resources, institutions and infrastructures to bring about economic transformation. Nepal wants to become free from poverty He says, "We want to overcome the vicious circle of poverty and underdevelopment. Government alone has limited capacity and resources. We invite the private sector, domestic and foreign, to invest resources, produce goods and services and create jobs." The Nepal Government is committed to take reform policies further. It expects private sector’s willingness to invest, promising all needful support to facilitate foreign investment in the country, the Prime Minister said. On the occasion, the PM reminded that Nepal and China are good friends and reliable partners sharing exceptionally warm and cordial relations through ages. No amount of words, however powerful, can truly describe the goodwill that the two countries nurture towards each other and the esteem in which Nepal and China hold each other. "History, tradition, cultural values and geography link us inextricably, and our destiny is intertwined. This makes the case of collaboration and cooperation all the more important," he said. RSS