Investment Board Nepal (IBN) has approved a foreign direct investment (FDI) proposal worth NPR36bn (US$352m) made by Hongshi Holding Group of China.
Hongshi Holding Group's proposal to invest in the establishment of a new cement factory in Nepal in partnership with Shivam Cement (P) Ltd was approved at the board meeting held by IBN and chaired by Prime Minister Sushil Koirala on Tuesday.
Shivam Cement had signed an agreement in March with Hongshi Holding to set up a cement plant in Nepal. The proposed plant will have the capacity to produce 6000tpd of cement. It will create more than 2000 jobs.
This is the third-largest FDI in cement factories in Nepal. Dangote Group of Nigeria and Reliance Infrastructure Co Ltd of India have already received approval on their investment proposal.