Nepal

Ease of Doing Business in

Nepal

This page summarizes Doing Business 2013 data for Nepal. The first table lists the overall "Ease of Doing Business" rank (out of 185 economies) and the rankings by each topic. It also lists the economy's distance to frontier (DTF)** measure. The rest of the tables summarize the key indicators for each topic and benchmark against regional and high-income economy (OECD) averages.

Economy Overview

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Economy Summary
Starting a Business
Dealing with Construction Permits
Getting Electricity
Registering Property
Getting Credit
Protecting Investors
Paying Taxes
Trading Across Borders
Enforcing Contracts
Resolving Insolvency
Region South Asia
Income Category Low income
Population 30,485,798
GNI Per Capita (US$) 540
Doing Business 2013 Rank Doing Business 2012 Rank Change in Rank
108 107 down -1

Doing Business 2013 DTF** (% points) Doing Business 2012 DTF** (% points) Improvement in DTF** (% points)
58.4 58.3 down 0.1
Topic Rankings DB 2013 Rank DB 2012 Rank Change in Rank
Starting a Business 105 102 up -3
Dealing with Construction Permits 97 88 up -9
Getting Electricity 96 96 No change
Registering Property 21 23 up 2
Getting Credit 70 67 up -3
Protecting Investors 82 79 up -3
Paying Taxes 114 109 up -5
Trading Across Borders 171 170 up -1
Enforcing Contracts 137 136 up -1
Resolving Insolvency 121 119 up -2

Economy Profile

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Doing Business Resources

Doing Business law library Law Library

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Additional Topic

Additional Data

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Starting a Business

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The challenges of launching a business are shown below. Included are: the number of steps entrepreneurs can expect to go through to launch, the time it takes on average, and the cost and minimum capital required as a percentage of gross national income (GNI) per capita.

DB 2013 Rank 105 DB 2012 Rank 102 Change in Rank down-3
DB 2013 DTF** (% points) 79.5 DB 2012 DTF** (% points) 79.0 Improvement in DTF** (% points) up0.5
YearNew business densityNumber of new limited liability companies
2011 0.563,213
Indicator Nepal South Asia OECD

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

View methodology Procedures (number)
7 7 5

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

View methodology Time (days)
29 19 12

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

View methodology Cost (% of income per capita)
33.0 21.6 4.5

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

View methodology Paid-in Min. Capital (% of income per capita)
0.0 17.8 13.3
No. Procedure Time to Complete Associated Costs
1 Verify the uniqueness of the proposed company name 1 day NPR 5
2 A professional verifies and certifies the memorandum and articles of association 5 days NPR 10,000 depending on the professional’s charges
3 Buy a stamp to be attached to registration form 1 day NPR 5
4 File documents with the Company Registrar’s Office, Department of Industry 15 days NPR 4,500
5 Make a company rubber stamp 1 day NPR 275
6 Register for VAT and income Tax with the Inland Revenue Office, the Ministry of Finance 5 days no charge
7 Enroll the employees in the Provident Fund 1 day no charge

** The distance to frontier (DTF) measure shows the distance of each economy to the "frontier," which represents the highest performance observed on each of the indicators across all economies included in Doing Business since each indicator was included in Doing Business. An economy’s distance to frontier is indicated on a scale from 0 to 100, where 0 represents the lowest performance and 100 the frontier. Read more...

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