Lars H Thunell, executive vice-president and CEO of IFC, disclosed this during a meeting with finance minister Barsha Man Pun at the latter´s office in Singha Durbar this morning. [break]
Thunell also showed concerns about Nepal´s realty sector, reads a press statement issued by IFC on Monday.
"Hydropower is the first priority area for IFC," the statement quoted Thunell as saying. "International private sector is interested to invest more in the areas ranging from agriculture to banking sector in Nepal.”
However, to bring in their investments, he said the government must make investment environment favorable.
Acknowledging Nepal´s recent economic improvement, Thunell said Nepal could be a tourism centre of Asia. "In order to achieve anticipated double-digit growth, there should be an appropriate economic system," the statement quoted Thunell.
During the meeting, Finance Minister Pun, reiterating the commitment to create a favorable environment for foreign investment, appreciated the effort that IFC has been making for the development of Nepal. "We definitely need your support and additional investment in many areas," the statement quoted Minister Pun as saying, "The investment Year 2012/13 that we have declared is to attract overseas investment in Nepal."
He further told Thunell that the Investment Board (IB) of Nepal was preparing 50 mega projects especially for foreign investment.
Minister Pun also shared the government´s action plan with Thunell. "We will divide investment areas in three categories, namely small, medium and large scale projects," statement reads quoting minister Pun, "We want foreign investment in large scale projects. We want our private sector to invest in small and medium scale projects."
Minister Pun requested IFC CEO Thunell to invest in hydropower development. "Transmission line and energy highway are no more problems for those who want to invest in Nepal´s hydropower sector since the cross border transmission lines are under construction," Pun told Thunell as per the statement.
According to the statement, Minister of State for Finance Hariraj Khewa Limbu, finance secretary Krishna Hari Baskota and Lal Shankar Ghimire, joint secretary at the finance ministry were also present in the meeting.
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