CDC appoints Nepal head

Rayamajhi (pictured) was previously a private sector development advisor at UK’s Department for International Development (DFID). He will be based in Kathmandu and support CDC's activities in the region. Earlier in his career, he also worked with Nepal’s Investment Board and was involved in large-scale infrastructure projects within the waste management, hydropower, and cement industries.

CDC has made three investments in Nepal. Last year, the group completed its first equity commitment in the country, backing private sector internet service provider WorldLink. CDC has also contributed debt funding to a hydroelectric plant and a commercial bank.

Nepal is currently reeling from the impact of COVID-19. While the country has only registered 23 deaths, a slowdown in inbound travel is expected to adversely affect tourism, employment, construction, and trade. Together with development finance institutions (DFIs) from 16 countries, CDC has formed a DFI Alliance that will seek to offer countercyclical capital to support businesses in developing countries hit by the pandemic-related economic downturn. 

At the same time, CDC believes that there are encouraging signs for private equity investment in Nepal. These include an improved appreciation amongst regulators for the asset class and for entrepreneurs. In 2018, restrictions on foreign debt investments in Nepalese financial companies were also removed. However, regulation remains uncertain and exits are difficult. 

CDC has investments in over 1,200 companies in South Asia and Africa. It has begun to look at frontier markets in Asia more actively in recent years and officially established an office in Bangladesh last year. It also made its first equity investment in Myanmar with a $30 million commitment to internet service provider Frontiir.

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• Topics
• South Asia
• People
• CDC Group
• Appointments
• Nepal