Recently, Information Technology (IT) companies in Nepal have been granted permission to open branch offices abroad. The Cabinet meeting held on Monday has directed the President’s Office to issue an ordinance amending certain Nepal Acts related to investment facilitation, which includes amending the Electronic Business Act, 2063 through an Ordinance.
As per the amended Act, a person, firm, industry, or company established in Nepal based on information technology can now open a branch office or business unit abroad to export software or services related to information technology and bring the earned amount into Nepal. However, the Ministry of Communication and Information Technology will grant permission to open such a branch office or unit only if the concerned person, firm, industry, or company applies the necessary documents.
Furthermore, the government has announced one-time facilities for IT companies to obtain foreign currency to set up and operate a branch office or unit abroad. This move relieves Nepali IT professionals, who have long been demanding the opening of branch offices abroad.
The new provision will open new markets for IT companies in Nepal and increase the export of software and services, ultimately boosting the country’s economy. The amended Act is expected to create more job opportunities in the IT sector and enhance the country’s digital capabilities.