Kathmandu: Chandra Prasad Dhakal, President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), highlighted the critical role of startups in Nepal’s economic growth during the third Startup Nation Conference held in Kathmandu. The event, organized in collaboration with the Government of Nepal, drew attention to the government’s increasing support for the startup ecosystem.
In his address, Dhakal expressed gratitude to the Honorable Prime Minister for his presence, which he noted had elevated the importance of the startup sector. “This is the third time we are organizing the Startup Nation Conference. Initially, we organized the event with the help of organizations like ICIMOD and PUM Netherlands. This time, the government has played a more intensive role,” Dhakal remarked.
The FNCCI President highlighted a significant milestone in the legal recognition of startups in Nepal, noting that just four months ago, the Industrial Enterprise Act was amended to include a definition of startups. He also shared that FNCCI was instrumental in drafting and submitting the nation’s first startup policy, which has now been passed.
Dhakal praised the government for allocating NPR 1.25 billion in the current budget as a grant for startups, which he believes will reach the youth who need it most. He emphasized the need for incubation and innovation centers to support young entrepreneurs, announcing that FNCCI has already begun the process of establishing an incubation center in collaboration with the Sudurpaschim Province Government and the Kailali Chamber of Commerce and Industry.
“We are represented in all 77 districts and 123 municipalities across the country. We have the capacity to advance this initiative and establish these centers in cooperation with the government,” Dhakal said, urging both federal and provincial governments to collaborate with FNCCI.
Acknowledging the government’s commitment to the private sector, Dhakal mentioned the inclusion of FNCCI’s long-standing demand for a high-level Economic Reform Commission in the Ministry of Finance’s recently published 100-day work plan. He expressed confidence that this commission would play a crucial role in making important decisions on economic matters of short, medium, and long-term significance.
Dhakal also addressed recent concerns within the private sector, particularly regarding the proposed amendment to the Banking and Financial Institution Act, which restricts shareholders with more than 1% of shares from taking loans. He warned that such a provision could discourage investment and impact economic growth, urging the government to avoid policies that might hinder private sector development.
As the conference drew to a close, Dhakal emphasized the urgency of engaging Nepal’s youth in entrepreneurship, citing examples from the United States and India where startups have significantly contributed to job creation. He pointed out Nepal’s potential for rapid economic expansion, given the country’s favorable balance of payments, high foreign exchange reserves, and sufficient funds for investment within banks.
Looking ahead, Dhakal announced FNCCI’s plans to organize the Nepal-Thailand Business Forum during the Prime Minister’s upcoming visit to Thailand. He also revealed that a joint investment conference for development is scheduled for later this month, co-organized by FNCCI, the United Nations, and the Ministry of Finance.
“As investment increases, so will employment and revenue. The dream of a prosperous Nepal will come true. Let us all work together towards this goal,” Dhakal concluded, urging all stakeholders to join hands in fostering Nepal’s startup ecosystem and achieving economic prosperity.
