Nepal’s Tech Renaissance

Nepal has set an ambitious target of Rs 300 billion in annual IT exports, for which the central bank, Nepal Rastra Bank (NRB), has introduced new, investor-friendly policies. These measures include relaxed rules on foreign investment, easier profit repatriation, and permission for Nepali IT firms to invest abroad. These changes come as the IT sector is expanding rapidly. The number of IT companies has risen from 40 to 400 in just two years, with annual exports reaching around USD 1 billion. The nation aims to achieve Rs 300 billion in IT exports within a decade and generate employment for 1.5 million people, positioning IT as a key driver of future economic growth. Nepali IT professionals are increasingly working remotely for companies in the US, Europe, Australia, India, and elsewhere, earning well without leaving home. This combination of skilled youth, lower costs, and improved regulations has encouraged the government to attract foreign direct investment (FDI) to the sector, as it provides opportunities to earn foreign currency while reducing youth migration.