NRB Eases Equity Inflows, Repatriation And Outward Investment

Executive Summary

Nepal Rastra Bank (NRB) has issued the Fifth Amendment to the Foreign Loan and Investment Management Bylaws, 2078 (2021)for on 30 December 2025 (though NRB Board decision was done on December 11, 2025). The amendment reflects a regulatory shift from approval-centric controls to post-transaction supervision. It simplifies foreign equity inflows,decentralizesrepatriation approvals to commercial banks, and relaxes restrictions on outward investment by Nepali companies.

Foreign Equity Inflows

The amendment removes the requirement for prior NRB approval for foreign equity investments, including investments in existing companies and share transfers.

PreviousPosition:

Foreign investors wererequiredto obtain NRB approval for foreign exchange entry even after receiving sectoral approval from the Department of Industry or theformerlyInvestment Board of Nepal(which is no longer investment approving authority). Thisadditionallayer applied particularly to brownfield