KATHMANDU: Economic Digest offers a concise yet comprehensive overview of significant business happenings in Nepal, presented in easily digestible summaries.
Foreign investment commitments in Nepal have declined in the first six months of the current fiscal year compared to the same period last year.
According to the Department of Industry, the commitment decreased by Rs 1.55 billion. However, the number of industries registering commitments has increased.
Energy entrepreneurs call for separate IPO procedures for hydropower companies
Energy entrepreneurs in Nepal have called for the Securities and Exchange Board of Nepal (SEBON) to introduce a separate procedure for issuing Initial Public Offerings (IPOs) specifically for hydropower companies.
The demand was made at a press conference in Kathmandu on Wednesday by Green Energy Entrepreneurs Nepal, a newly formed organization representing energy entrepreneurs.
The group presented six key demands to the government, focusing on the need to address inequalities and improve the operational environment for hydropower companies.
These demands included the removal of inequalities in Power Purchase Agreements (PPAs) and an increase in the electricity purchase rate. They also called for the extension of the production permit period for hydropower projects to 50 years, along with the removal of the 35-year restriction on projects smaller than 10 MW.
Additionally, they requested a review of the technical aspects and inequalities in transmission line and grid connection agreements.
The group advocated for the reintroduction of a maximum tax rate of 1 percent on equipment, spare parts, and services purchased from abroad for joint ventures, similar to previous provisions. Lastly, they called for the immediate removal of unequal contracts for alternative energy projects.
The group also expressed concerns about SEBON’s current requirement that companies with a net worth of less than Rs 90 million be prohibited from issuing IPOs.
Oil Corporation to relocate Dhangadhi depot to Godawari
Nepal Oil Corporation has announced plans to relocate its Sudurpaschim Provincial Depot in Dhangadhi to Godawari Municipality, Kailali.
The corporation has identified 20 bighas, 16 kathas, and 8 dhurs of land for this project.
NEPSE sees slight increases, Finance sector faces decline
The Nepal Stock Exchange (NEPSE) index rose by a modest 1.83 points to close at 2,595.96 on Wednesday.
Transactions totaled NPR 5.82 billion, with 124 companies seeing an increase in share prices, 108 experiencing declines, and 10 remaining stable.
Construction entrepreneurs announce phased protest over unmet demands
The Federation of Contractors’ Associations of Nepal has announced a phased protest, citing the government’s failure to address its demands.
The federation plans to submit a memorandum to the Prime Minister, relevant ministers, and the provincial Chief Minister’s Office by Magh 15, giving an ultimatum for the resolution of its concerns.
If the demands remain unaddressed by Magh 15, the federation has outlined a series of protests, starting with a sit-in at Maitighar on January 31, followed by another sit-in at the Prime Minister’s residence in Baluwatar on February 2.
From February 3, they plan to block the eastern and western border crossings entering the capital. If the government still does not meet their demands, the federation has warned that all types of construction work, including national pride projects, will come to a halt, and the protest will intensify.
Five-Star Mercure Hotel opens in Sukedhara
Prime Minister KP Sharma Oli inaugurated the international brand Mercure Hotel in Sukedhara, Kathmandu, on Wednesday.
The hotel is part of the global Accor chain, marking its debut in Nepal. PM Oli expressed optimism about the hotel contributing to Nepal’s tourism sector and emphasized the government’s commitment to facilitating the industry’s growth.
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