Concerns over the country’s heavy reliance on foreign employment have repeatedly surfaced. A “Current Economic Situation Report” released by the Ministry of Finance on Monday warns of a potential long-term risk of labour force depletion. At the same time, the country continues to face a severe shortage of jobs and a lack of essential skilled human resources, with many institutions struggling to attract qualified personnel. First, foreign employment is increasingly seen as the only viable option by many citizens. As a result, rather than acquiring skills, a large number of workers are entering low-skilled jobs abroad. Even for such work, basic formal education is often required, underscoring the need for a more skilled labour force. Second, there is a growing tendency to overlook domestic occupations and businesses while prioritising migration abroad. This “foreign employment aspiration” is also reinforced by social imitation—when people see neighbours or relatives going abroad, others are encouraged to follow.
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Although employment opportunities exist within the country, they remain insufficient. The state remains the largest employer, with limited openings in the civil service, Nepali Army, Nepal Police, Armed Police Force, and public enterprises. If public institutions could utilise their human resources more efficiently, fewer staff would be required. However, weak job creation and intense competition make domestic employment difficult, and not everyone can clear Public Service Commission examinations. According to the Nepal Living Standards Survey, the unemployment rate stands at 12.6 percent. With limited domestic opportunities, many citizens are compelled to seek work abroad to sustain their livelihoods. Over the past decade, the number of Nepali workers going for foreign employment has increased by an average of 28.6 percent annually. In fiscal year 2081/82, a total of 839,000 workers obtained labour approvals, including 506,000 new and 333,000 renewed permits—an exceptionally high figure for a country like Nepal. Migration abroad is often driven by necessity rather than choice. While mobility in search of opportunity is a natural human tendency, large-scale outward migration reflects structural economic weaknesses. If domestic industries and productive sectors were better developed, many of these workers could remain and support their families within the country.
Foreign employment has, however, contributed positively to external economic indicators and poverty reduction. Remittance income has supported household expenditure on education, healthcare, and daily consumption, improving living standards for many families. Yet challenges remain. Many households now face labour shortages, with agricultural land left fallow and workers increasingly unavailable for domestic projects. This is also affecting the timely completion of development and construction activities. If the trend continues, it could have broader implications for national development. Therefore, creating adequate employment opportunities within the country remains essential. The current government led by Balen Shah, which pledged during the election campaign to reduce labour outmigration, is expected to focus on long-term structural solutions.
