KATHMANDU, Jan 13: The government has enforced the Regulations of the Foreign Investment and Technology Transfer Act (FITTA), allowing the authorities to adopt flexibility on issuing residential visas to foreign individuals and investors on ‘conditions’.
In the new provision, a foreigner investing more than one million US dollar will be provided with a residential visa, provided at least half of the amount is invested inside the country. Likewise, any individual bound for conducting a survey, study and research will get a six-month visa.
The Regulations talk about categorizing foreign investors into three groups and to provide them with separate identity cards. The investors injecting Rs 50-250 million are termed as general investors. Investors with a capital investment amount between Rs 250 million and Rs 1 billion are recognized as special investors and those in the group of over Rs 1 billion are entitled highly special investors.
At a time when foreign investors are complaining about the difficulty of extending business visas, the government has come up with the new provision. Similarly, many investors are often found making investment commitments without bringing in the actual investment, just to receive the residential visa in the country.
The foreign investors, who propose investing Rs 50 million, should bring in 25 percent of the committed amount within one year from the date of getting registered. The threshold for the investment of Rs 50-250 million is 15 percent, for investment of Rs 250 million-Rs 1 billion it is 10 percent and for an investment of more than Rs 1 billion, it is five percent of the amount in the first year.
The regulation also has provisions for necessary services to the foreign investors via a one-stop service centre at the Department of Industry. The Ministry of Industry, Commerce and Supplies has been made liable to solve the procedural grievances of foreign investors in a month.