Section 15: Application to be Made For Approval to Make Foreign Investment

1) A foreign investor wishing to make a foreign investment shall have to make an application, setting out the details, accompanied by a schedule for bringing foreign investment into Nepal and an foreign action plan on investment in the industry, to the Foreign Investment Approving Body for approval, to make foreign a investment, in such a form and setting out such details as prescribed.

2) If, in examining an application received pursuant to sub-section (1), it appears that such documents as prescribed have been completed, the Foreign Investment Approving Body shall give approval for foreign investment in such a form as prescribed within a period of seven days of the date of receipt of the application.

3) An industry which has obtained approval pursuant to sub-section (2) wishes to make an investment from the earned profits in the same industry or in any industry other than that referred to the Schedule, it is not necessary for it to re-obtain approval on foreign investment.

Provided that the natter requiring license or permission under the prevailing law for the purpose of registration of an industry or company or tax or any other business shall be governed accordingly.

4) If any industry is established or the structure of ownership of any industry is changed because of foreign investment, in accordance with sub-section (3), such industry shall give information thereof to the Department and the Nepal Rastra Bank. On receipt of such information, the Department shall maintain records thereof.

5) If, in examining the application pursuant to sub-section (2), it appears that approval cannot be given, the Foreign Investment Approving Body shall give information thereof in writing, setting out the ground and reason therefor, to the applicant within a period of seven days.

6) If, upon receipt of information in accordance with sub-section (5), the concerned investor is not satisfied with the decision made by the Department, such an investor may make an application to the Ministry for the review of the decision.

7) The Ministry shall, upon making necessary examination of the application received pursuant to sub-section (6), make a decision thereon within a period of thirty days.