Opening a Hospital in Nepal

Opening a Hospital in Nepal: A Complete Legal & Licensing Guide

The process of opening a hospital in Nepal has been structured under federal health laws, provincial regulations, and local government approvals. Therefore, a hospital cannot be operated legally unless all statutory requirements have been fulfilled. In this guide, the full legal, procedural, and compliance framework for opening a hospital in Nepal has been explained in a tutorial format, using verified laws and current regulatory practice.

This service-based guide has been prepared for investors, doctors, NRNs, health entrepreneurs, and foreign investors seeking legally compliant hospital establishment in Nepal.

Why Legal Compliance Is Mandatory for Opening a Hospital in Nepal

Before a hospital is opened, public health responsibility is imposed by law. Therefore, strict licensing and quality control obligations have been enforced by the Government of Nepal.

Under Nepal’s federal system, authority is shared by:

• Ministry of Health and Population (MoHP)

• Provincial Ministries of Social Development

• Local Municipal Governments

As a result, hospital registration in Nepal has been regulated through multi-layer approvals.

Legal Framework Governing Opening a Hospital in Nepal

The following laws have been applied while opening a hospital in Nepal:

All provisions above have been actively enforced during hospital licensing in Nepal.

Step-by-Step Process for Opening a Hospital in Nepal

Step 1: Company or Entity Registration (Mandatory)

Before a hospital license is applied for, a legal entity must be registered.

The following options are allowed:

• Private Limited Company

• Public Limited Company

• Non-Profit Organization (Trust)

Registration is completed at:

• Office of Company Registrar (OCR)

After registration:

• PAN registration is completed at IRD

• VAT registration is completed if applicable

This step is mandatory for hospital registration Nepal.

Step 2: Land, Building & Zoning Approval

For opening a hospital in Nepal, land ownership or a long-term lease must be proven.

Required approvals include:

• Municipal land-use clearance

• Building permit under NBC

• Fire safety clearance

• Disability-friendly access certification

Without structural compliance, a hospital license in Nepal is not issued.

Step 3: Environmental Clearance Requirement

Hospitals are categorized as sensitive institutions. Therefore, environmental approval is required.

Approval is granted by:

• Provincial Environment Unit or MoFE

This step is mandatory for opening a hospital in Nepal legally.

Step 4: Minimum Infrastructure & Equipment Standards

Hospital infrastructure standards are defined under MoHP directives.

Compliance is inspected before hospital licensing Nepal approval.

Step 5: Human Resource & Medical Council Compliance

All medical professionals must be registered with respective councils.

Without council registration, a hospital cannot be approved.

Step 6: Application for Hospital License in Nepal

Once all documents are prepared, an application is submitted.

Licensing Authority (Based on Federal Structure)

This step finalizes opening a hospital in Nepal.

Documents Required for Hospital Registration Nepal

Missing documents result in rejection.

Cost Breakdown for Opening a Hospital in Nepal

Estimated costs vary by scale.

Legal compliance cost remains unavoidable.

Timeline for Hospital Licensing in Nepal

Delays occur if compliance gaps are identified.

Foreign Investment & NRN Hospital Setup in Nepal

For foreign or NRN investors:

• FDI approval is obtained from DOI

• Minimum investment threshold applies

• Repatriation rules are followed

FDI hospitals must still comply with opening a hospital in Nepal regulations.

Common Mistakes While Opening a Hospital in Nepal

The following errors are frequently observed:

• Land zoning non-compliance

• Underqualified medical staff

• Incomplete waste management plan

• Improper environmental filing

Such mistakes delay hospital license Nepal approval.

How Nepallawyer can Assists in Hospital Registration

At Nepallawyer

• Legal feasibility analysis is conducted

• Licensing documentation is prepared

• Government coordination is handled

• Post-licensing compliance is supported

End-to-end legal assistance is provided for opening a hospital in Nepal.

FAQs: Opening a Hospital in Nepal

Is hospital registration mandatory in Nepal?

Yes. Hospital registration Nepal is mandatory under the Public Health Service Act.

Can a private hospital be opened in Nepal?

Yes. Private hospitals are allowed under the Private Health Institution Directive.

How long does hospital licensing take in Nepal?

Usually, 3–6 months are required if documents are complete.

Can foreigners open a hospital in Nepal?

Yes. FDI approval is required before licensing.

Which authority issues hospital licenses in Nepal?

Licensing authority depends on hospital level: local, provincial, or federal.

Is environmental clearance compulsory?

Yes. Environmental approval is compulsory for all hospitals.