The European Union (EU) has reaffirmed its commitment to supporting Nepal in attracting foreign investment, with a particular focus on bringing European companies to the Nepali market. During a reception held on Thursday to commemorate the 50th anniversary of diplomatic relations between Nepal and the EU, Ambassador Veronique Lorenzo highlighted the upcoming ‘EU-Nepal Trade Forum’ as a platform to address Nepal’s foreign investment deficit.
The second meeting of the ‘EU-Nepal Trade Forum’ is scheduled to take place in Kathmandu on May 15-16, where companies from EU countries will participate to explore potential investment opportunities in Nepal. The forum aims to facilitate dialogue and foster partnerships between European investors and Nepali businesses, bridging the gap in foreign direct investment (FDI) inflows.
Ambassador Lorenzo emphasized the importance of economic development and employment generation as Nepal progresses towards graduating from the list of least developed countries (LDCs) in 2026. Attracting foreign investment is seen as a crucial step in this transition, as it can contribute to the country’s economic growth, job creation, and overall development.
The ‘EU-Nepal Trade Forum’ will serve as a platform for European companies to gain insights into Nepal’s investment climate, sectors with high growth potential, and the incentives and facilities offered to foreign investors. Additionally, Nepali businesses and stakeholders will have the opportunity to showcase their projects, products, and services, fostering potential collaborations and partnerships with European counterparts.
The EU’s support for enhancing investment in Nepal aligns with the country’s efforts to diversify its economy and tap into the potential of various sectors, such as hydropower, tourism, agriculture, and manufacturing. By facilitating foreign direct investment, Nepal aims to leverage international expertise, technology, and capital to drive sustainable economic growth and development.
As Nepal prepares to host the ‘EU-Nepal Trade Forum,’ both Nepali and European stakeholders are optimistic about the potential for strengthening economic ties and fostering mutually beneficial partnerships, paving the way for a more prosperous and inclusive future.
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