Kathmandu, May 24 -- Even as Nepal formally opened its doors to foreign direct investment (FDI) more than three decades ago, the country has never managed to attract FDI worth even 1 percent of its gross domestic product (GDP).

In the past three years, the figure has hovered around just 0.2 percent.

While least developed countries such as Cambodia, Bangladesh and Rwanda have drawn significant foreign investment, Nepal has struggled to attract global investors.

Although many foreign companies continue to do well in Nepal, some have already exited the market. With businesses facing persistent operational and policy-related challenges, multinational companies here have been unable to confidently recommend Nepal as a favourable destination...