Investment commitments on tourism sector up by 20.81 percent

Investment commitments in the tourism sector have increased by 20.81 percent in fiscal year 2023/24 compared to the previous fiscal year.

According to the Department of Industry (DoI), it has received Rs 30.53bn worth of investment commitments from 134 different tourism ventures like hotels and cable car projects in 2023/24. The department had received such commitments worth Rs 25.27bn from 76 projects in 2022/23. 

While the number of projects have nearly doubled compared to 2022/23, the investment commitment has not increased in the same proportion, an official at the DoI said. The official said that seven of these projects have made investment commitments above Rs 1bn each.

The largest investment commitment has come from The Massif Hotel Pvt Ltd which has expressed commitment to spend over Rs 4.81 billion. The five-star property, which is being built by Guna Group—a conglomerate having business interests ranging from real estate to the aviation sector—in Gwarko of Lalitpur, will have 302 rooms. According to rating company ICRA Nepal, the estimated cost of the project is Rs 6.5bn and the promoters plan to raise 75 percent of the project cost through bank financing. 

Similarly, Veda Hospitality Pvt Ltd is building a 270-bed hotel in Lumbini. The company promoted by Golyan Group has proposed to invest Rs 4.6bn to build a five-star hotel in Kamahariya of Mayadevi Rural Municipality of Rupandehi. The group has signed a management contract with Hyatt Group. The property will be named Hyatt Regency Lumbini. Golyan Group also operates Hotel Hyatt Place in Soaltee Mode, Kathmandu.

Likewise,  Prabhu Group has proposed to invest Rs 2bn in a cable car project in Icchakamana Rural Municipality of Chitwan. The lower station of the cable car project will be near Ramailo Danda on the Prithvi Highway, while the top station will be at Ichchhakamana Devi Temple premises on the Mahabharat hill.

Hospital entrepreneur Durga Prasai is investing Rs 2.84bn in Hotel Atrium in Jhapa. The hotel will have 120 beds and a 200-seat restaurant. Likewise, Hotel Buddha Pvt Ltd has been registered in Lumbini with an investment commitment of Rs 1.85bn. The hotel will have 200 beds. 

Similarly, Watford Hotel Management Pvt. Ltd. have expressed commitment to invest Rs 1.16bn to open a 92-room hotel. has been registered with an investment commitment of Rs 1.16bn for a 92-bed hotel.

Likewise, KTM Hospitality has made an investment commitment of Rs 1.15bn to open a resort in Chitwan, while Yaksha Hospitality has proposed to invest Rs 2bn to open a 115-room hotel.