KATHMANDU: The government is preparing to enact a new law in a bid to attract foreign investment and to ease technology transfer.

The new act replacing the existing act on Foreign Employment and Technology Transfer Act, 1993 shall provide many facilities to foreign investors.

For example, the new act shall provide identity cards as well as business visas to foreign investors. Similarly, those investing USD 10 million or more shall be provided with residential visa until their stay in Nepal. The investor, his/her family members, and relatives will also benefit from the provision.

The act envisages that either an individual or a group can invest in Nepal. Similarly, a foreigner can invest in Nepal by establishing a branch of its existing venture.

The government is working to enact the law ahead of Nepal Investment Summit 2019 slated for the last week of March.

The act puts no bar on the amount of foreign investment. Similarly, it shall guarantee that no foreign investment shall be nationalized. As such the new act shall incorporate many issues not addressed by the current act, according to a source at the Office of the Prime Minister and Council of Ministers.

The act envisages that either an individual or a group can invest in Nepal. Similarly, a foreigner can invest in Nepal by establishing a branch of its existing venture.

Once the new act is enforced, any foreign national coming to Nepal for research and studies in terms of investment will be entitled to a non-tourist visa for a total of six months.