February 22: Foreign investors pledged the least foreign direct investment (FDI) for Nepal in a one-month period from mid-January to mid-February compared to other months of the current fiscal year.

According to the data released by the Department of Industries, Nepal received foreign investment commitments worth Rs 345 million in the review month.

Foreign investment commitment in mid-January to mid-February was about 80 percent less than the commitment in the previous month.

Approval of foreign investment projects was also the lowest in the review month. According to the data, the Department of Industries approved 15 projects with foreign investment projects in mid-January to mid-February. Compared to the first month of the current fiscal year (mid-July to mid-August), project approval and investment commitments have been gradually decreasing in the following months and reached the lowest point in mid-January to mid-February.

The data of the department shows that the highest number of projects were registered in mid-July to mid-August. As a result, the amount of foreign investment commitments in mid-July to mid-August was also more than in other months. A total of 60 projects with foreign investment commitments worth Rs 11.93 billion were approved in mid-July to mid-August.

As per the legal provision, the Department of Industries is authorized to approve foreign investment for small, medium and large industries/projects.

In mid-January to mid-February, the department approved only small-scale projects. All the 15 projects approved in mid-January to mid-February were small in size.

According to the department, Nepal received foreign investment commitments worth Rs 22.68 billion from mid-July to mid-February in the current fiscal year. During this period, the Department of Industries approved 241 projects in total.

In the previous fiscal year, the country received foreign investment commitments equal to Rs 38. 40 billion.

The data of decline in FDI commitment was released at a time when the government is preparing to hold the Third Investment Summit in late April this year.