Editing Economy of Nepal (section)

==Foreign investments and taxation==
Huge numbers of Small Foreign Investments come to Nepal via the [[Non Resident Nepali]], who are investing in many sectors. Nepal has a huge potential for hydroelectricity. Accordingly, a large number of foreign companies are willing to invest in Nepal, but political instability has stopped the process.
Nepal has entered into agreements for avoidance of double taxation (all in credit method) with 10 countries ([https://web.archive.org/web/20111104182119/http://bndahal.hpage.com/ PSRD]) since 2000. Similarly, it has [[Investment protection]] agreements with 5 countries ([https://web.archive.org/web/20111104182119/http://bndahal.hpage.com/ PSRD]) since 1983. In 2014, Nepal restricted the [[Foreign aid]] by setting a minimum limit for foreign grants, soft and commercial loans from its development partners.<ref>{{cite web|title=Nepal puts a minimum amount limit on foreign aid and loans |url=http://news.biharprabha.com/2014/07/nepal-puts-a-minimum-amount-limit-on-foreign-aid-and-loans/|work=IANS|publisher=news.biharprabha.com|access-date=3 July 2014}}</ref>