Fund worth Rs 10bn to be set up for infra development

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A fund worth Rs 10 billion will be set up to invest in the infrastructure sector under the initiative of Non-Resident Nepali Association (NRNA).

In order to establish the fund, NRNA has started preparation for the registration of a separate company in Nepal. The Nepal government will have a five per cent share in the fund.

In a meeting held at the Ministry of Finance today, it was announced that the government would invest five per cent in the fund as per a prior agreement. Finance Minister Bishnu Prasad Paudel assured to provide necessary assistance, including additional financial support, so that the fund can be brought into operation immediately.

He urged Kumar Pant, president of the NRNA, to begin the necessary procedures and complete the registration process of the company within a week. NRNA President Pant said that the process of registration of the company is underway and the work will begin soon.

According to Pant, the NRNA will have 10 per cent share in the company and 85 per cent will be owned by Nepalis living abroad. He further said that an initial public offering (IPO) will be issued for investment by non-resident Nepalis.

NRNA President Pant also informed that they are receiving proposals for investment in different sectors. He also mentioned that Nepalis living abroad are eager to invest in Nepal’s infrastructure sector.

Minister for Industry, Commerce and Supplies Lekhraj Bhatt, Finance Secretary Shishir Kumar Dhungana, Revenue Secretary Ram Sharan Pudasaini, Governor of Nepal Rastra Bank Maha Prasad Adhikari, Economic Adviser to the Finance Minister Prakash Kumar Shrestha, Chief Executive Officer of the Investment Board Sushil Bhatt and others were present during the meeting.

Source : The Himalayan Times