‘S Koreans investment with Nepalese will enhance economic ties’

By A Staff Reporter

Kathmandu, Jan.29: The International Finance Corporation (IFC), the private sector member of the World Bank Group, has made investments in a Nepalese finance company International Leasing & Finance Co. Ltd. (ILFC), which was established in 1994 as the first joint venture finance company of Nepal and S. Korea, this is stated in a press release issued by the ILFC in Kathmandu.

ILFC, a joint venture with KDB Capital Corporation- Korea, is operating under continued profit for the last five years. Its joint venture partner KDB Capital Corporation is itself the largest leasing and venture capital company in South Korea and one of the top three leasing companies in Asia with five joint ventures worldwide. ILFC’s major areas are lease financing, various kinds of loans and advances and deposits, and other advisory services, says the press release. The authorised capital of the company is Rs. 240 million and its issued capital is Rs. 120 million.

Shares worth of Rs 30 million will be issued within three months of the investment of the remaining Rs. 22 million.

Investment worth Rs. 43 million and Rs. 25 million has been made by Nepalese and Korean businessmen respectively.

At a function organised by ILFC in Kathmandu recently, Finance Minister Dr. Ram Sharan Mahat said, "This is a good beginning for economic future of Nepal that a World Bank group has made investments in ILFC." "In the context of private sector expansion in Nepal, joint investment of Koreans and Nepalese in ILFC will enhance economic ties between both countries," he said.

Governor of Nepal Rastra Bank Dr. Tilak Rawal said that along with foreign investments new technology should also come to Nepal.

The Ambassador of the Republic of Korea Ryoo See-Ya, IFC’s Director for South Asia Ms. Mary Ellen Iskenderian, President of KDB Capital Corporation Jae Sil Kim, chairman of ILFC Siddheshwar Kumar Singh, Managing Director and Chief Executive Officer of ILFC Donhyuk Kim also expressed their views at the function.