Investment Board Nepal 64th Meeting: Muktinath Cable Car, Hydropower Projects Approved by PM Oli
5th June 2025, Kathmandu
The 64th meeting of the Investment Board Nepal, chaired by Prime Minister KP Sharma Oli, approved several key projects that will boost infrastructure, tourism, and energy sectors in the country. The board gave the go-ahead to the Muktinath Cable Car Project, along with hydropower projects and industrial initiatives.
Investment Board Nepal 64th Meeting
One of the main highlights of the meeting was the approval of the Muktinath Cable Car Project. The project will connect Seraphant (Virethanti/Naya Pul) in Parbat district to Muktinath in Mustang. It will cover a distance of 81.041 kilometers and include seven stations along the route.
The estimated investment for this project is NPR 5.764 billion. Muktinath Darshan Private Limited has proposed to carry out the project using the Build, Own, Transfer (BOT) model. This means the company will build, operate, and eventually transfer ownership back to the government.
To finalize the agreement, the board formed a committee led by CEO Sushil Gyawali. The committee will negotiate with the company on the terms and conditions of project development.
The cable car will boost tourism in the region. It will also create many local jobs, which will help improve the livelihoods of people living nearby.
Hydropower Projects Move Forward
The board also discussed and approved investments for three hydropower projects, which will help meet Nepal’s growing energy demand.
The Chilung Khola Hydroelectric Project will have a capacity of 43.2 megawatts (MW).
The Bajhang Upper Seti Hydroelectric Project will generate 216 MW.
The Bakan Khola Hydropower Project will have a capacity of 44 MW.
These projects aim to expand the country’s renewable energy sources and reduce reliance on imported fuels.
West Seti Reservoir Project Under Further Study
The meeting reviewed the detailed project report for the West Seti Reservoir Hydropower Project. This project has a large capacity of 750 MW and an estimated investment of NPR 16 billion.
Instead of immediate approval, the board decided to conduct further studies. This cautious approach will ensure the project’s feasibility and environmental sustainability.
Rail Cooperation Agreement With South Korea
Another important development was the decision to draft an agreement for cooperation in railway development with South Korea’s Korel Institution.
This draft will be submitted for cabinet approval. The agreement aims to support Nepal’s plan to expand its railway network, which will boost trade and connectivity in the region.
Industrial And IT Park Development Plans
The board also approved moving forward with proposals for new industries and technology parks.
For example, a refined edible oil (cooking oil) industry in Janakpur has received approval to proceed. Additionally, the board agreed to advance plans for establishing several Information Technology (IT) parks in different locations.
These initiatives align with Nepal’s vision to promote industrial growth and digital infrastructure development.
Economic And Social Impact
Overall, the Investment Board’s decisions will have broad benefits. The infrastructure projects will improve connectivity and energy supply.
Meanwhile, the tourism and industrial projects will create jobs and stimulate local economies. The cable car project, in particular, is expected to attract many tourists to Mustang and nearby areas.
Moreover, the move to expand renewable energy projects will support Nepal’s environmental goals and reduce carbon emissions.
Government’s Commitment To Development
Prime Minister KP Sharma Oli emphasized the importance of these projects. He noted that they are crucial for Nepal’s economic growth and sustainable development.
By approving these investments, the government is signaling its commitment to improving infrastructure, energy, and industry. These efforts will contribute to achieving national development goals and enhancing the quality of life for citizens.
Conclusion
The 64th meeting of the Investment Board Nepal marked a significant step forward for the country’s development. With the approval of the Muktinath Cable Car Project, multiple hydropower plants, and industrial ventures, Nepal is moving closer to its infrastructure and energy targets.
Through careful planning and strategic partnerships, the government aims to unlock new opportunities for economic growth and social progress. These projects will not only strengthen Nepal’s economy but also improve connectivity and provide sustainable livelihoods for many communities.
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