Nepal, a nation endowed with abundant natural resources and cultural richness, has traversed through turbulent times marred by poverty and conflict. However, amidst the struggles, Nepal has emerged resilient, having peacefully resolved armed conflicts and embraced inclusive democratic practices through the drafting of a progressive constitution in 2015 by the constituent assembly elected by the people. This brought the peaceful but protracted political transformation to a logical end, almost nine years after the end of the decade-long armed conflict (1996 to 2006). Now, as the country embarks on a journey of economic transformation, the government is steadfast in its efforts to attract foreign direct investment (FDI) as a key strategy to catalyze sustainable development and uplift the living standards of its people. The third Nepal Investment Summit that begins today symbolizes Nepal's determination to position itself as a highly promising investment destination. The summit is convening distinguished national and international stakeholders, including government representatives, private sector leaders, and development partners, to chart a path towards inclusive growth and prosperity.
It is undeniable that Nepal's potential for economic growth is immense, with aspirations to graduate from a Least Developed Country (LDC) status to a middle-income nation by 2026. Each successive government in Nepal in the past few decades has reiterated its openness to foreign investment, signaling a clear message of readiness to embrace change and usher in progress. Political parties across their political ideologies have shown their resolute commitment to attract FDI as a means to bring development in the country. Legislative reforms have been enacted accordingly to create an enabling environment for investors, showcasing Nepal's determination to facilitate business and spur economic development. This offers unique opportunities for foreign investors to make their investment in Nepal—a country sandwiched between two emerging economies in the world: India and China. In addition to abundant natural resources, Nepal is also bestowed with a demographic dividend. One of the most pressing challenges facing Nepal is the mass exodus of its youths in search of employment opportunities abroad. On an average, over 2,000 Nepali youths leave the country a day in search of employment opportunities abroad. However, with the influx of foreign investment, these talented youths can be retained within the country, contributing to its growth and prosperity. Furthermore, Nepal boasts a pool of skilled laborers who have acquired technical expertise abroad, presenting a valuable asset for potential investors. This offers a competitive edge, with the prospect of their ability to export their products and services to both China and India in the long run.
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Beyond the pursuit of profit, investing in Nepal also holds profound implications from the perspective of global justice. Multinational companies investing in poorer countries like Nepal can play a pivotal role in stimulating economic growth, creating job opportunities, and alleviating poverty in the Global South. By transferring advanced technologies and expertise, these companies can empower local industries, bridge development gaps, and foster greater equality in global innovation and development. Their investment also fosters interconnectedness and solidarity on a global scale, promoting collaboration and partnership between nations and cultures. It demonstrates a commitment to shared prosperity and contributes to building a more just and harmonious global community.
As we confront the harsh realities of global economic inequality, the imperative to invest in poorer countries like Nepal becomes even more pronounced. The concentration of over 50 percent of global wealth among the wealthiest 1% of people, mainly in the Global North, highlights the urgent need for equitable distribution and inclusive development. Investing in Nepal, which has a mere $1027 GNI Per Capita, aligns with the noble cause of addressing economic disparities, fostering sustainable development, and promoting greater equality and opportunity for all. Thus, we as a newspaper believe that investing in Nepal transcends mere profit-seeking motives; it embodies a collective endeavor to advance global justice and create a more equitable world. It is the collective responsibility of all, mainly those with the investible resources, to help Nepal realize its aspiration to become a middle-income country, ending the risk of the country reverting back to the cycle of violent conflict fueled by poverty and unemployment.
