Total Approved Investment by Investment Board Nears Rs 1.7 Trillion: What Are the Different Project Stages?
The Investment Board has approved a total investment of Rs 1.673 trillion across 53 projects since its establishment. Currently, 28 hydropower projects under development involve investments totaling Rs 598 billion. Two projects are in the financial management stage, while 11 are at the development agreement phase. Kathmandu, 22 Baisakh. The total approved investment by the Investment Board has nearly reached Rs 1.7 trillion. According to the Board, investments worth Rs 1.673 trillion have been approved for 53 projects since its inception. Former CEO of the Board, Sushil Gyawali, stated that the Board has focused on channeling investments into long-term, significant projects. He mentioned that while projects worth Rs 1.7 trillion have been approved, investment proposals for approximately Rs 2 trillion more projects have also been received.
Recently, the Investment Board announced, in collaboration with the Nepal Chamber of Industry, plans to develop a pipeline of public-private partnership (PPP) projects worth US$1 billion. These projects are targeted for implementation over the next 10 years and will be presented to investors. The Board highlighted that this initiative will help increase Nepal’s economic size to US$100 billion within five to seven years, aligning with the current government’s economic goals. The Investment Board was established in 2011 (2068 BS). Two projects with a combined cost of Rs 5.881 billion have been fully completed and are currently operational. The Hongshi Cement investment was approved in 2015 (2072 BS) and is now producing, as is the Huaxin Cement project approved in the same year, currently in production.
The 28 hydropower projects under construction have a combined investment of Rs 598 billion. These include the 900 MW Arun Third, 216 MW Upper Trishuli–1, 50 MW Marsyangdi Bessi Hydropower, 60 MW Upper Trishuli–3B, and 42.9 MW Ankhu Khola Hydropower projects. Additionally, projects under construction include the 57.3 MW Myagdi Khola Hydropower, 164 MW Kali Gandaki Gorge, 97.2 MW Isuwa Khola, 77.5 MW Ghunsa Khola Hydropower, and 57 MW Himchuli Dordi Hydropower.
Two projects are at the financial management stage, with a total estimated cost of Rs 255 billion. These are the 669 MW Lower Arun Hydropower Project and the 900 MW Upper Karnali Hydroelectric Project. Eleven projects are currently at the development agreement stage, with a total cost of Rs 555 billion. These projects include the China-Nepal Friendship Industrial Park in Damak, 327 MW Upper Marsyangdi-2, Dabur Nepal capacity enhancement and production diversification, Kathmandu Valley waste management project (first package), Nayapul-Muktinath cable car, 210 MW Chainpur Seti Hydropower, and 341 MW Budhigandaki Hydropower Project.
Five projects are in the detailed study phase, with an estimated investment value of Rs 8.4 billion. These include a 245 MW grid-connected solar PV and battery storage project, Dang Cement, Samrat Cement, Suryatara Cement, and the Kathmandu Valley waste management project’s second and third packages.
During this period, five projects were unable to proceed to the implementation phase. The Board’s Monitoring and Facilitation Committee, at its 13th meeting last week, identified the issues and challenges faced by these stalled projects. It decided that policy decisions are necessary and will coordinate with relevant developers and agencies to prepare proposals for presentation at the upcoming meeting. The projects yet to progress include Dangote Cement, Reliance Cement, the vehicle manufacturing and assembly plant project, Venture Waste to Energy in Dharan, and hotel projects in Dahachowk, Bhaktapur, and Pokhara.