The Nepal-India Chamber of Commerce and Industry (NICCI) has welcomed Nepal Rastra Bank’s decision to ease the repatriation of dividends for foreign investors, saying the move will significantly reduce procedural hassles and strengthen investor confidence.

On May 29, NICCI officials met Nepal Rastra Bank governor Bishwanath Paudel and raised concerns related to the repatriation of dividends and salaries of foreign employees, difficulties in cross-border service payments, and the need for effective implementation of the one-window system. The delegation requested the central bank to introduce necessary facilitative measures to address these issues.

NICCI President Sunil KC said the latest amendment has removed long-standing procedural bottlenecks. “This has not only eliminated the hassle of submitting duplicate documents to both the Department of Industry and Nepal Rastra Bank for dividend repatriation, but has also practically implemented a true one-window system for foreign investors,” he said.

Saibal Ghosh, co-convenor of NICCI’s Indian Business Forum, also welcomed the policy change, noting that it has effectively ended unnecessary duplication of work for both investors and government agencies. He said the earlier arrangement had created avoidable administrative burdens on both sides.

Nepal Rastra Bank amended the Foreign Investment and Foreign Loan Management Regulation on Monday. Under the revised provision, foreign investors can now repatriate dividends directly through the commercial bank where they maintain their accounts. In line with Sections 20 and 26 of the Foreign Investment and Technology Transfer Act, the amended regulation authorises commercial banks to provide foreign exchange facilities for the repatriation of foreign investment and income earned in Nepal.