India has urged Nepal’s private sector to lobby policymakers to bring policies that will attract foreign investors to the country.

Indian Ambassador to Nepal Manjeev Singh Puri has stressed the need for economic connection between the two countries to anchor the historic ties between them.

“As businesses grow in India, they have a very natural urge for expansion beyond the national boundary, and making investments in Nepal is their first priority,” said Puri, speaking at a programme organised by the Nepal Chamber of Commerce to welcome the newly appointed ambassador.

“In a bid to attract such investments, Nepal must have policies that favour foreign investment.” The Nepali private sector, according to Puri, must play a crucial role in influencing Nepali policymakers to draft such policies.

“If foreign investments pour into Nepal, it is the business people who will benefit the most,” said Puri. “It is the businesses in Nepal which will be venture partners, vendors and contractors, among others, to the businesses willing to make investments in Nepal.”

Puri pointed to hydropower as one sector which both countries should explore together for mutual benefit. “Nepal has huge potential in terms of hydropower generation while India is a huge export market for electricity generated in Nepal,” he added.