Kathmandu, July 5: Think-tanks, policymakers, diplomats, investors, entrepreneurs and IT professionals of Nepal and the UK participating in the Nepal-UK Tech Forum agreed to explore the massive possibilities of investment and forward cooperation between Nepal and the UK in the IT sector in Nepal.
The Forum was organized by the Nepali Embassy in London, the UK on July 4 to attract investments in Nepal’s IT sector by expanding IT based business in Nepal and contributing to Nepal’s export of IT products.
Addressing the Forum, Nepali Ambassador to the UK, Chandra Kumar Ghimire, hailed Nepal as one of the most democratic and inclusive countries in the South Asia. Ghimire, referring to the recent economic and policy reforms, proudly mentioned that Nepal has emerged as an energy-export country and a vibrant IT hub lately.
He shared a series of Nepal’s success stories in the field of technology including favorable business climate, growing investment and export IT based products and services and appealed to the British companies to outsource Nepal’s IT services and consider investment in the Nepal’s IT sector.
On the occasion, British Ambassador to Nepal Rob Fenn asserted that it was right time to attract British investment in Nepal and bolster bilateral trade. According to him, a foundation has been laid for investment in IT and renewable energy while preparation was underway to sign agreement for double taxation avoidance.
He suggested that it was important to assure smooth repatriation of dividend by the foreign investors so as to keep attracting more investments from abroad including the UK.
Similarly, British parliamentarian Alex Baker, also Chairperson of the All Party Parliamentary Group (APPG) for Nepal, pressed for operating direct air services between Nepal and the UK.
Also speaking in the one-day forum, CEO of the Nepal Investment Board, Sushil Gyawali, highlighted the reforms in policy and legal fronts as well as institutional and procedural arrangements put in place by the government of Nepal to facilitate the incoming of Foreign Direct Investment (FDI) in Nepal. Stating that development of energy, information technology and infrastructures were some of the top priorities for the government of Nepal, he shared that Nepal had permitted cent per cent FDI in IT sector.
He also shed light on the provisions such as tax exemption up to seven years and facility to repatriate profits for foreign investors in Nepal. A plan was afoot to establish the IT Parks in all seven provinces across Nepal and form IT Promotion Board under the chairmanship of the Prime Minister, according to Gyawali.
He pledged utmost cooperation on the part of the Investment Board to facilitate foreign investors.
More than 100 participants engaged in series of panels on Artificial Intelligence (AI ) as a driver of growth for Nepal, digital trade, prospects of UK investment in Nepal’s digital economy, digital diplomacy with extensive Nepali diasporas among others.
Dolma Impact Fund’s Founder Tim Gochar expressed his confidence over Nepal’s tremendous potential to increase its productivity through artificial intelligence and date centres. He hinted at the possibility of establishing world-class data centres by leveraging the cold climate in highland of Nepal, clean energy and digital human resources.
FNCCI’s President Chandra Prasad Dhakal proudly said that although IT and digital services are emerging sectors, Nepal has demonstrated its capability to compete in the global level in these sectors. “We are open to joint ventures, e-governance and other partnerships. We would like to invite you to collaborate with us in building a shared digital future,” he said, calling for British investment.
Anjani Phuyal, CEO of Genese Solution, an IT company with its headquarters in the UK, commended the quality services provided by the Nepali IT professionals in the global market.
Highlighting Nepal’s Unique Selling Point (USP) as offering low cost and high quality, Phuyal spoke of the need to expand IT infrastructures in all provinces of Nepal.
Santosh Koirala, President of the Nepal Association for Software and IT Services Companies (NAS-IT), said that there were around 90,000 youths working in the Nepal’s IT sector at present.
According to him, IT sector had been generating around 800 million USD of annual income altogether. “More than 75 per cent of our total exports currently go to the USA. We would like to expand our market in the UK as well in coming four-five years,” he shared his vision.
The Forum decided to set up a Nepal-UK Digital Working Group representing both embassies and other relevant stakeholders to follow up on the topics discussed in the forum to facilitate the Nepali tech export as well as FDI to Nepal in coming days.
