European Business Delegation Explores Investment Prospects in Nepal

A commercial mission from the Federation of European Businesses in India (FEBI), hosted by the European Union Delegation to Nepal, concluded a two-day visit to Kathmandu on May 7, aimed at exploring Nepal’s emerging investment opportunities and fostering deeper economic engagement.

The mission, part of a broader EU effort to strengthen economic ties with Nepal, provided European investors a first-hand look at the country’s evolving business environment, ongoing policy reforms, and high-potential sectors. During their visit, delegates met with key government and economic figures, including Culture, Tourism and Civil Aviation Minister Badri Pandey, Chief Economic Advisor Dr. Yuba Raj Khatiwada, and Investment Board CEO Sushil Gyawali.

EU Ambassador Veronique Lorenzo lauded Nepal’s commitment to attracting foreign investment, despite persistent structural challenges. She emphasized the EU’s strategic shift from development aid to investment-driven support, aligning with Nepal’s national priorities and promoting sustainable growth.

At various sessions, Nepali stakeholders briefed the delegation on current economic reforms, sectoral priorities, and the government’s long-term vision for attracting foreign capital. They urged European businesses to seize emerging trade and investment opportunities, particularly in energy, aviation, and information technology.

A key highlight of the mission was the signing of a Memorandum of Understanding (MoU) between FEBI and the European Economic Chamber Nepal. The agreement aims to enhance institutional cooperation, facilitate knowledge exchange, and create a robust platform for business-to-business engagement.

The FEBI delegation also held targeted consultations with investment bankers, honorary consuls, and private sector leaders, engaging in sector-specific dialogues designed to lay the groundwork for future collaboration.

This exploratory mission sets the stage for the upcoming EU-Nepal Business Forum 2025, scheduled to be held in November, which is expected to further solidify economic partnerships and attract greater European investment into Nepal.