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AsiaSouth AsiaNP

Nepal

AI Agent Legal Status: restrictive · Autonomy: none

restrictive
2Score /10

Legal Framework

Nepal Rastra Bank (NRB) has banned cryptocurrency trading and ownership. Digital infrastructure is limited. No AI-specific regulation exists, and the regulatory environment is restrictive toward emerging technologies.

Key Laws & Regulations

  • Electronic Transactions Act 2063
  • NRB Crypto Trading Ban
  • Information Technology Policy 2010

Business Formation

Private Limited Company or branch office. Foreign investment regulated by the Foreign Investment and Technology Transfer Act.

Tax Implications

Standard CIT rate of 25%. Limited tax incentives for technology businesses.

Opportunities

Very limited for AI agent businesses under current regulatory conditions.

Highlights

Low operational costs. Growing youth interest in technology.

Risks & Challenges

Crypto trading ban limits token-based models. Very limited digital infrastructure. Challenging geography for connectivity. Regulatory environment unfavorable to digital innovation.