FNCCI, KOIMA sign MoU to promote Nepali products in Korea

KATHMANDU: Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and the Korea Importers Association (KOIMA) have signed a memorandum of understanding (MoU) to promote Nepali products in the Korean market and expand investment.

FNCCI President Chandra Prasad Dhakal and KOIMA President Kim Byung-kwan signed the agreement at an event in Seoul, South Korea, on Thursday.

KOIMA, an organisation established in South Korea, aims to promote an industrial environment and provide easy access to goods by importing industrial raw materials and goods not produced locally. The cooperation with KOIMA will facilitate the expansion of Nepali products in Korea, according to FNCCI. This initiative is expected to reduce the trade deficit between Nepal and South Korea, currently around Rs 7 billion.

Nepal exports traditional goods such as felt, carpets, and yarn. The FNCCI believes that collaboration with KOIMA will help find markets for industrial raw materials and other products.

During the event commemorating the 50th anniversary of diplomatic relations between Nepal and Korea, FNCCI President Dhakal highlighted the potential to strengthen economic relations between the two countries. He spoke at an event titled ‘Investment and Trade Opportunities in Nepal’, organised by the Nepali Embassy in Seoul, with Minister for Industry, Commerce and Supplies Damodar Bhandari as the chief guest. Dhakal emphasised Nepal's energetic and youthful workforce, natural resources, and proximity to large markets as important factors for Korean investors.

Dhakal provided information on the progress made in Nepal's investment environment and highlighted recent reforms with the active involvement of the FNCCI. He mentioned the government's steps to create an investment-friendly environment by amending eight investment-related laws and stated that the endorsement of the Bilateral Investment Agreement framework is a significant step in facilitating foreign investment.

Dhakal also highlighted Nepal's favourable economic indicators. He informed investors that foreign exchange reserves had reached around $17 billion and that Nepal had received its first-ever credit rating, which was satisfactory in South Asia. He emphasised the importance of infrastructure development and invited Korean expertise and investment in roads, railways, airports, urban planning, hotels, resorts, cable cars, and smart cities.

Dhakal invited the Korean business community to explore trade and investment opportunities in Nepal and assured them of full support through the FNCCI's FDI Help Desk.