Section 2: Definitions

Unless the subject or the context otherwise requires, in this Act,-

(a) “Industry” means any industry established in accordance with the prevailing law relating to industrial enterprises.

(b) “One Stop Service Centre” means the One Stop Service Centre established in accordance with the prevailing law relating to industrial enterprises.

(c) “Non-resident Nepali” means a person holding a non-resident Nepali identity card in accordance with the prevailing law relating to non-resident Nepalis.

(d) “Prescribed” or “as prescribed” means prescribed or as prescribed in the Rules framed under this Act.

(e) “Securities Board” means the Securities Board of Nepal established in accordance with the prevailing law relating to securities.

(f) “Technology transfer” means any transfer of technology to be made under an agreement between an industry and a foreign investor on the following matters:

(1) Patent, design, trademark, goodwill, technological specificity, formula, process,

(2) User’s license, technological know-how sharing or use of technological knowledge (franchise),

(3) Provision of foreign technical adviser, management and marketing service or other technological skill or knowledge.

(g) “Board” means the Industry and Investment Promotion Board referred to in the prevailing law relating to industrial enterprises.

(h) “Ministry” means the Ministry of Industries, Commerce and Supplies

(i) “Investment Board” means the Investment Board referred to in the prevailing law relating to the Investment Board.

(j)“Foreign investment” means the following investment made by a foreign investor in an industry or company:

(1) Share investment in foreign currency,

(2) Re-investment in an industry of dividends derived from foreign currency or shares,

(3) Lease finance made in accordance with Section 6,

(4) Investment made in venture capital fund in accordance with Section 9,

(5) Investment made in listed securities through the secondary securities market in accordance with Section 10,

(6) Investment made by purchasing shares or assets of a company incorporated in Nepal,

(7) Investment received through the banking channel after issuing securities in a foreign capital market by an industry or company incorporated in Nepal in accordance with Section 11,

(8) Investment made through technology transfer, or

(9) Investment maintained by establishing and expanding an industry in Nepal.

(k) “Foreign investor” means any foreign individual, firm, company, Non-resident Nepali or foreign government or international agency or other corporate body of similar nature that makes foreign investment, and also includes, in the case of a foreign investor that is an institutional foreign investor, the ultimate beneficiary of such an institution.

(l) “Foreign investment approving body” means the body referred to in Section 17.

(m)“Department” means the Department of Industries.

(n)“Institutional foreign investor” means a foreign company, corporate body or international institution making foreign investments.