Investment Opportunities in Southern Asia: The Present and future of South Asia

For a very long time, even up until now, South Asian countries are known as underdeveloped or developing nations, where there lies lots of problems and difficulties, from financial and political instability to being hugely populated and polluted regions in the world. Yet, as rightly said by someone, “A problem is an opportunity in disguise”, so whenever there are problems there are equal opportunities to solve and overcome them. Hence, South-Asia is a region full of abundance and opportunities that are yet to be fully discovered and explored.

Firstly, the region includes eight developing countries, BangladeshBhutanIndiaMaldivesNepalPakistanSir Lanka, and Afghanistan. All these nations have their considerable involvement in export and import and forecast a desirable outlook for FDI opportunities. The overall risk profile, for most of the South Asian nations, is expected to be low, as they are invested in commodity importing and their growth rate is forecasted to be driven by domestic demand. Thus, the risk depends on the domestic factors and the micro-level needs and requirements of the citizens of each nation.

Moreover, accordingly, to the International Finance Corporation (IFC), these nations from South Asia has the highest economic growth rate capability in the world, compared to other developing nations that has grown from 6.2% to 7.5% between 2013 to 2016. Even, the World Bank expects these South Asian countries to grow tremendously by 2021, with the projected growth rate of 6.7% on average.

Further, at the moment, Bangladesh, India, and Nepal are renowned to be the strongest economies among all the other South Asian nations, as these countries have grown consistently through investment, agriculture, and manufacturing. To begin with, Bangladesh is one of the most promising manufacturers of textile products in the world, with the growth rate of 8% in 2019. As per the World Bank’s report, over the period, the nation has reduced its poverty level from 40% in 1991 to around 14% in 2016/17, with its diversified economy and increased FDI involvement up to $3.61 Billion. The country has various untapped potential domestic markets, supported with macroeconomic stability and cheaper workforce. Likewise, the country has major opportunities in various sectors like communication, manufacturing, trade, and financial institutions.

Secondly, India is the fastest growing South Asian nation in the world, mapping its revolutionary growth with enhanced production capabilities and manufacturing intelligence. Yet, with 2016’s demonetization, the country has faced certain economic downfall along with high inflation that has directly impacted its food industry and oil price. Nonetheless, India has still managed to become the most attracted destination for foreign investment and financial liberalization, as the government has supported with subsidies and released funds for development needs like real estate, railways, insurance and progressed towards energy efficient project.

Likewise, the Indian government has started the “Make in India” campaign, targeting to support local ventures and manufacturers, along with multinational enterprises to set manufacturing facilities in India, in order to empower local people. India also aims to catalyze $200 to $300 Billion, new investment in renewable energy over the next decade. And similarly, Centre for Economics Business and Research (CEBR) suggests that “India could become the world’s third-largest economy” in next 15 years.

Thirdly, Nepal has slowly yet steadily marked its presence with exceeding economic growth and political stability. Especially with its growing agricultural expansions, hydropower advancements, and strong consumer demand, Nepal has undoubtedly stabilized its growth rate post-2015’s earthquake. Moreover, the World Bank reports the “first of two $100 Million projects is strengthening Nepal’s electricity sector, while the IDA18 IFC-MIGA Private Sector Window will provide $103 Million for a hydro plant project, encouraging other private the sector to also join”.

Nepal has also liberalized its FDI policies, creating friendly investment environment for the investor, with secured profitable margins, especially in the area of hydropower, industrial manufacturing, services, tourism, construction and energy.

Overall, all these countries have the largest surge in the middle-class population, where they hold the high chance to become smaller and wealthier than ever, pursuing better lifestyle and overall socio-economic growth. Thus, investing in consumer demand like on food, agricultural resources, energy efficiency projects, digital economy and other marketable commodities ensure the predictability of higher returns for the investor.

Furthermore, KAii Group has already initiated a hydro-electricity project in Nepal with a target to produce 1200MW electricity and develop two eco-friendly, digital cities simultaneously, under two phases with total estimated investment of 12 Billion. Where, “KAii Eco Project Phase 1” is the first, to begin with, and is estimated to require an investment of total $1.36 Billion, with an expected ROE of $2.95 Billion. Other than that, KAi initiative Group aims to develop  various other projects around South Asia, in a regional manner creating a chain channel to support, connect, invest and direct various projects in these nations together.

Therefore, KAii Group further appeals to various enthusiastic investors, partners, companies, and entrepreneurs to come together and invest in South Asian countries, who hold lots of credibility and potential in terms of growth and return. There are a number of investment ideas besides the one mentioned above, that can generate significant returns and, create a sustainable and progressive portfolio for the investor, along with their contribution to the growth and development of overall South Asia, empowering the region to grow with infinite opportunities.

KAii Group provides Venture Development Services to the companies, investors who want to enter and get success in the South Asian Market. Very soon KAii Ventures will announce a service specialize to start in abroad. We will help companies and investors from zero to success in new countries.

Lastly, do contact us at or if you want to learn more about “KAii Eco Project Phase 1” or about any of our future projects in South Asia- we will be more than happy to entertain you with further information and build a connection with you- “Together for a better world”!G


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