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By Sandeep Chaudhary

NRB Report: Labour Migration to Saudi Arabia and Qatar Declines, Japan and Oman Surge

Published on October 26, 2025

According to Nepal Rastra Bank’s latest macroeconomic data (Table 26), Nepal’s labour migration landscape is undergoing a gradual but clear transformation. In the first two months of FY 2025/26, the total number of Nepalis leaving for foreign employment (institutional and individual) reached 90,198, marking a strong 17.9 percent rise compared with the same period a year earlier. Yet, while total outflow increased, the composition of destination countries shifted noticeably.

Gulf Decline

Traditional labour hubs Saudi Arabia and Qatar saw contractions. Deployments to Saudi Arabia fell 15.7 percent to 11,923 workers, down from 14,146 last year. Qatar posted a smaller 3.1 percent decline, receiving 8,340 Nepaliscompared with 8,607 a year earlier. This dip stems from tightened recruitment processes, slower project activity, and growing competition from migrant workers of other Asian nations.

East Asia and Oman Surge

Conversely, newer destinations expanded. Japan recorded a robust 42.1 percent surge, absorbing 3,779 Nepalis under the Technical Intern Training and Specified Skilled Worker programs. Oman jumped 55.2 percent, with 1,001 workerscompared with 645 in FY 2024/25. These reflect Nepal’s strategic diversification efforts, leveraging government-to-government labour pacts and demand for semi-skilled and skilled manpower.

Other Movements

The UAE remained the top destination, attracting 37,381 workers (41.4 percent share). Countries such as Cyprus (+14.8 %), Turkey (+117 %), and Israel (+183 %) also gained momentum, signaling widening job opportunities beyond the Gulf.

NRB Report: Labour Migration to Saudi Arabia and Qatar Declines, Japan and Oman Surge

Overall, Nepal’s foreign-employment market continues to grow, though the direction of flow is changing. Declines in Saudi Arabia and Qatar are offset by sharp increases in Japan, Oman, and non-traditional markets, marking a gradual transition toward higher-skill and diversified overseas employment opportunities.

UAE Remains Top Job Destination for Nepali Workers with 37,381 Migrants in 2025/26

In FY 2025/26, the UAE remained Nepal’s top job destination, hosting 37,381 Nepali workers in the first two months alone — a 40% year-on-year increase. The Gulf region continues to absorb the majority of Nepali labor, with strong growth also seen in Japan and Cyprus. Total labor migration approvals (new and renewal) exceeded 136,000 during the review period.

Nepal’s Foreign Employment Rises 17.9% in FY 2025/26 – Over 90,000 Workers Leave in Two Months

In the first two months of FY 2025/26, Nepal sent 90,198 new workers abroad, up 17.9% year-on-year. The UAE, Saudi Arabia, and Qatar remained the top destinations, while Japan and Cyprus showed growth. Including renewals, total foreign employment reached 1.36 lakh workers, highlighting Nepal’s ongoing dependence on labor migration for income and remittance.

NRB Report: Nepal’s Trade with China Expands Sharply as Industrial Imports Rise 32%

Nepal’s trade with China surged in early FY 2025/26, with imports up 25.1 percent to Rs 65.17 billion, led by a 32 percent rise in industrial imports. Key drivers included telecommunication equipment, fertilizers, solar panels, and machinery, marking a shift toward industrial investment — but also highlighting growing trade imbalance concerns.

Nepal Increases Imports of Telecommunication Equipment and Machinery from China by 52%

Nepal’s imports from China climbed to Rs 65.17 billion in the first two months of FY 2025/26, up 25 percent year-on-year, led by a 52.6 percent rise in telecommunication equipment and strong demand for industrial machinery. The surge reflects rising investments in technology and infrastructure but also adds to Nepal’s trade-deficit challenge.

Solar Panels, Wheat Products, and Chemical Fertilizer Drive Nepal-China Trade Growth

In FY 2025/26, Nepal’s imports from China climbed 25%, totaling Rs 65.17 billion, driven mainly by solar panels, wheat products, and chemical fertilizers. The surge highlights industrial recovery and the country’s push toward renewable energy, though it also increases Nepal’s trade deficit risk due to heavy reliance on Chinese imports.

NRB Data: Nepal’s Imports from China Reach Rs 65.2 Billion in Two Months, Up 25%

In the first two months of FY 2025/26, Nepal’s imports from China climbed 25 percent, totaling Rs 65.2 billion. Growth was led by telecom equipment, fertilizers, solar panels, and PVC compounds, showing rising industrial and technology demand. While the expansion reflects economic momentum, it also deepens Nepal’s import dependency and trade-deficit concerns.

Nepal’s Imports from China Surge 25.1% in FY 2025/26 – Electronics and Machinery Lead Growth

Nepal’s imports from China climbed 25.1% in the first two months of FY 2025/26, reaching Rs. 65.17 billion, led by telecom equipment, fertilizers, machinery, and solar panels. This surge cements China’s role as Nepal’s second-largest trade partner and reflects rising industrial and technological demand.

Nepal Sees Import Boost in Vehicles (+33%) and Rice/Paddy (+68%) from India in 2025/26

In FY 2025/26, Nepal’s imports from India rose 8% to Rs. 173.54 billion, driven by strong growth in vehicle imports (+33%) and rice/paddy imports (+68%). The rise indicates revived consumer demand and agricultural dependency but also reinforces concerns about Nepal’s widening trade deficit with India.

NRB Report: Labour Migration to Saudi Arabia and Qatar Declines, Japan and Oman Surge

Gulf Decline

East Asia and Oman Surge

Other Movements

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