Journal article Open Access

Barriers and solution for better investment climate in Nepal

Paudel, Ramesh; Gopal P. Tiwari

The main objective of this paper is to assess the current investment climate in Nepal and to demonstrate the rationale for a competitive business environment. In this process, we document the details of the key features of the investment barriers considering the policy contexts and proposed legal changes in the relevant sector. Further, we present a brief discussion of Nepal's institutional readiness to implement and enforce the emerging improved legal framework including the institutional set up, human resource to facilitate timely labor disputes resolutions, issues surrounding operational for businesses, and foreign investment.  We, in this paper, urge to build a wider Buddha Lumbini circuit as a strategic development path that would contribute to improve the investment scenario with collaboration of many countries that have a substantial impact of Buddhism. This would be helpful to attract many tourists, and it would also help to build heavy infrastructure focusing on connectivity issue connecting with the potential industrial hubs in the country. 

JEL Code: M29, E22, P11
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