KATHMANDU: Foreign Direct Investment (FDI) commitments to Nepal dropped by nearly Rs 7 billion in the fiscal year 2025/2026, totaling Rs 58.01 billion compared to approximately Rs 65 billion in 2024/2025.

The Department of Industry approved 1,116 projects (1,090 small, 12 medium, 12 large), which are projected to generate 28,423 jobs.

The standard approval route brought in Rs 48.41 billion, while the automatic route brought in Rs 9.58 billion, with a major surge of Rs 10.38 billion occurring in the final month of the fiscal year.

By sector, agriculture and forestry drew the highest volume of capital at Rs 23.188 billion (40% of total FDI) across 18 projects.

The ICT sector was the most popular by project volume, representing 65% of all projects (727) with commitments of Rs 2.833 billion.

Tourism followed as the second-largest sector by value at Rs 13.997 billion, with energy pulling in Rs 7.168 billion.

The remaining funds went to services (Rs 4.914 billion), manufacturing (Rs 3.910 billion), infrastructure (Rs 1.804 billion), and mining (Rs 185 million).

FDI commitments fluctuated heavily throughout the year, peaking at nearly Rs 24 billion in the opening month before hitting severe lows between October 2025 and January 2026, followed by a recovery in July 2026.