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Nepal Climbs FDI Rankings as Hydropower Sector Draws Global Investors
Economy

Nepal Climbs FDI Rankings as Hydropower Sector Draws Global Investors

By Elena VossJuly 1, 20267 min read

World Bank report highlights Nepal's improving investment climate and renewable energy potential.

Nepal has risen 23 positions in the World Bank's FDI Attractiveness Index, driven primarily by reforms in hydropower licensing and special economic zone development.

Foreign direct investment inflows reached $412 million in 2025, with European and Gulf sovereign wealth funds showing particular interest in run-of-river projects.

Elena Voss

Elena Voss

International Economics Correspondent

Elena Voss reports on global trade, development finance, and economic diplomacy from Kathmandu and Geneva.

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