Project Finance and Infrastructure Development Law

Project Finance and Infrastructure Development Law

Project finance is emerging legal practice in Nepal with increase of Infrastructure in hydropower, telecommunications and other big projects. Project finance is primarily a long-term capital investment in in fractures and industrial projects. Public-Private Partnership and investment Act 2019 and Private financing in build and Operation of Infrastructure Act 2063 are major laws. 

At Lawin and Partners Law firm in Nepal provide you overall legal support to bridge the practicality with regulations and laws for your easy finance infrastructures and projects.

Lawin and Partners team of corporate Lawyers assists on project from inceptions to financial close. Feasibility and tending, structuring and company or entity incorporation, due diligence, drafting of financial agreements, off take agreements, inter-creditors deeds, financial closure. 

Major Practice Areas

Documentation and Structuring for Project Finance

Documentation and Structuring for Project Finance

Drafting of agreements necessary for all types of projects and finance for domestic projects and international Infrastructure projects.   

 

Regulatory Compliance and Due Diligence

Regulatory Compliance and Due Diligence

Nepal’s regulatory environment requires specific clearances for major projects:

  • Foreign Investment (FITTA): Obtaining approvals from the Department of Industry or the Investment Board of Nepal (IBN).
  • Foreign Exchange Control: Navigating Nepal Rastra Bank (NRB) regulations for debt servicing and profit repatriation.
  • Environmental Clearances: Securing IEE/EIA approvals from the Ministry of Forests and Environment.
  • Getting License from Ministries
Risk Management and Mitigation

Risk Management and Mitigation

Project finance is the strategic allocation of risk to the party best able to manage it.

  • Political Risk: Advising on sovereign guarantees and political risk insurance. 
  • Force Majeure: Drafting robust clauses to protect stakeholders during unforeseen national or local disruptions.

Why Lawin and Partners Law Firm's team in Nepal for Project Finance?

The complexity of project finance in Nepal demands seasoned experts like our Law firm team of project finance Lawyers who understand both local standers challenges and international expectations.

Our team represents and assists:

  • Project Sponsors & Developers.
  • Lenders & Financial Institutions (Banks, DFIs, and ECAs).
  • Government Agencies & Concessionaires.
Contact our experts
Consult Lawin and Partners
Frequently Asked Question

In project finance, lenders rely primarily on the project’s cash flow for repayment, with the project’s assets and contracts serving as collateral (non-recourse or limited recourse). In contrast, corporate finance is backed by the entire balance sheet and creditworthiness of the 

 

Lawin and Partners (Law Firm) navigate the complex landscape of government approvals, including Environmental Impact Assessments (EIA), foreign investment approvals from the Department of Industry (DoI) or the Investment Board of Nepal (IBN), and foreign exchange clearances from Nepal Rastra Bank (NRB).

 

Political risk is mitigated through sovereign guarantees, Political Risk Insurance (PRI) from multilateral agencies and robust force majeure clauses in concession agreements that protect against changes in law or government interference.

 

Comprehensive legal due diligence is essential to identify risks related to land acquisition, environmental compliance, labor issues, and title validity. Lenders require this to ensure the project is "bankable" and that there are no hidden liabilities.

 

Yes, but it requires strict adherence to the Foreign Investment and Technology Transfer Act (FITTA) and NRB regulations. We assist international financiers in structuring deals to ensure the seamless repatriation of interest, principal, and dividends.

 

Lawin draft and negotiate dispute resolution clauses that typically favor international arbitration (e.g., NEPCA, SIAC, or ICC) to provide a neutral and expert forum for resolving complex technical and financial conflicts.

 

Share This Practice

Get in Touch with Our Legal Experts

Have a question or need legal assistance? Fill out our contact form and our team of experienced lawyers in Kathmandu, Nepal will get back to you promptly.

Please include your WhatsApp or Viber number in the phone section if you'd prefer a direct call from one of our legal professionals.

We are here to provide trusted legal support tailored to your needs.

Connect with our professional lawyers in Nepal :

Follow Our Law Firm on Social Media :

REACH OUT TO US AT ANY TIME

More Practice Areas

View All
Foreign Direct Investment (FDI)

Foreign Direct Investment (FDI)

Expert FDI lawyers in Nepal advising foreign investors on market entry, regulatory approvals, compli...

Learn More
Company Law

Company Law

Leading corporate and company law lawyers in Nepal providing legal advice on business formation, com...

Learn More
Criminal and Corporate Litigation

Criminal and Corporate Litigation

In the dynamic Nepalese legal and commercial landscape, business conflicts, online crimes, civil and...

Learn More
Intellectual Property Law

Intellectual Property Law

Lawin and Partners' is a leading and best intellectual Property Law Firm in Nepal, assisting our...

Learn More
Labor & Employment Law

Labor & Employment Law

At Lawin and Partners, we understand that proper Labor and Employment compliance is not just a legal...

Learn More
Tax Law

Tax Law

Lawin and Partners is the leading taxation Law firm in Nepal.  Relying on Income, Value Added T...

Learn More
Immigration Law

Immigration Law

At Lawin & Partners, expert Immigration Lawyers serve in providing comprehensive immigration sol...

Learn More
Tort Law

Tort Law

We have vigorously litigated thousands of medical malpractice and personal injury cases, insurances...

Learn More
Non-Resident Nepali (NRN) Law

Non-Resident Nepali (NRN) Law

NRN Lawyers  advices Nepalese citizens staying abroad, persons of Nepalese Origin called Non-Re...

Learn More
Energy & Infrastructure Law in Nepal

Energy & Infrastructure Law in Nepal

Lawin and Partners, over the years,assisted and advised a vast number of clients in a variety of ene...

Learn More
Comercial Contracts & Corporate Agreements

Comercial Contracts & Corporate Agreements

To build business certainty, clarity and security implications of contracts and agreement are fundam...

Learn More
Real Estate & Construction Law

Real Estate & Construction Law

At Lawin & Partners, we provide practical guidance as your trusted Property Law Firm in Kathmand...

Learn More
WhatsApp Viber Call