Nepal’s Quest For Foreign Investment

A study conducted by South Asia Watch on Trade, Economics & Environment (SAWTEE) around 2013 identified infrastructure, electricity supply, and governance as major issues. At that time, load shedding and labour strikes were indicated as reasons for the lack of FDI. Despite improvements in electricity supply and labour laws, the ongoing decline in FDI shows that there are other areas that Nepal needs to address. There are still unresolved issues related to dedicated and trunk line fee payments in some industries.