<div>Two prominent Indian business houses have received the Nepal government's approval to invest 144 billion Nepalese rupees for setting up cement and hydropower projects in the country.</div><div> </div><div>The Nepal Investment Board (NIB), headed by Prime Minister Sushil Koirala, has cleared the decks for Anil Ambani-led Reliance Group for an investment of 40 billion Nepalese rupees ($400 million) in southern Nepal.</div><div> </div><div>The NIB has approved the Indian company's proposal for setting up the multi-billion dollar project in Nepal, according to a statement by the board.</div><div> </div><div>The Reliance Group will soon conduct the study for constructing the plant in central or eastern Terai region of the southern plain.</div><div> </div><div>Similarly, the board has also approved the Project Development Agreement for the construction of 900-MW Arun Third Project being developed by Satluj Jal Vidyut Nigam Limited (SJVN), India.</div><div> </div><div>As per the draft agreement, Nepal will receive 21.9 per cent or 197 MW of electricity free of cost from the project, besides revenue and other facilities.</div><div> </div><div>The Indian company will invest 104 billion Nepal rupees on the project.</div><div> </div><div>Besides, Nepal will get a total economic benefit of $3.5 billion which includes royalty fees, tax and free power from the implementation of the period over the concessional period of 24 years.</div><div> </div><div>The formal agreement for developing the project is likely to be signed during the 18th SAARC Summit in Kathmandu in presence of Prime Minister Narendra Modi.</div><div> </div><div>(PTI)</div>
