Nepal-The Untapped Hub of Business Opportunities
The country which is yet to climb the ladder of development is still looking for some acknowledgement from the world
Opinions expressed by Entrepreneur contributors are their own.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
In a tiny corner of the world, enveloped by India and China is a country sitting comfortably and silently is Nepal. The country which is yet to climb the ladder of development is still looking for some acknowledgement from the world. What people and business insiders don’t know is the fact that this small subcontinent is actually a hub of untapped business opportunities.
Nepal has several parameters which makes it a convenient destination for doing business. Ease of doing business is not exactly the strength of Nepal since taxes can sometimes act a barrier, but it sure is an untapped market for the franchising industry. Anyone entering the market is sure to receive a profitable margin especially in the sector of retail, education and beauty industry. Moreover, Nepal needs structuring in the education and retail sector. This can give room for growth, investment and expansion in these highly profitable sectors.
Nepal has seen some churning, falling in the ease of doing business space. Out of 190 countries, Nepal was placed 158th by the World Bank in the ease of doing the business ranking. However, Nepal human resource can be counted as one of the reasons why people can invest here. Human resource, especially, is available at a cheaper cost since the economy is still taking baby steps to climb the ladder of development.
Nepal is largely an agrarian economy. As pointed out earlier, Nepal’s flora and fauna is its strength. Its natural resources have the potential to overturn the fortunes of the nation. Hydropower, for instance, is available and accessible in abundance. Mining also is an activity that helps to work for the benefit of the nation.
It is often seen as a vacation destination for people living in and around India and China. Nepal’s biggest source of cash flow and foreign direct investment will come from its tourism industry. All major mountain ranges are a situation in this part of the South-Asian continent. The catastrophic earthquake which killed nearly ten thousand people and many more injured has not dampened the tourists from all over the country from visiting the place.
The fact that it lies between an economic superpower (China) and one of the world’s fastest-growing economy (India) makes it an ideal place for investment.
The country’s Investment Promotion Board also is an important platform for attracting foreign investors to fill the coffers of the economy. This Board is taken seriously at the fundamental level because it is chaired by the Prime Minister of the country. A point to remember here is the fact that Nepal is a budding economy, any area which is on the threshold of development has massive market opportunities and growth potential. Thus, investors must tap the market and exploit the umpteen business opportunities it has to offer.