Tourists Arrived, Dollars Didn't: Nepal's Tourism Earnings Slip Despite Visitor Boom

Nepal welcomed 91,363 foreign tourists in June 2026, marking a 19.5 percent increase compared to the same month last year, according to the Nepal Tourism Board. Despite the impressive growth in arrivals, the latest report from Nepal Rastra Bank reveals that tourism revenue has failed to reflect the increase in visitor numbers. During the first 11 months of fiscal year 2025/26 (2082/83 BS), Nepal earned Rs 82.22 billion from tourism, slightly lower than the Rs 82.33 billion recorded during the same period a year earlier. Analysts attribute the gap primarily to the large share of visitors arriving from SAARC countries, particularly India, who generally spend less through formal channels, as well as Nepal's limited high-end tourism offerings and the growing number of budget travelers. The report also highlights a widening imbalance in the country's service account, with Nepali students spending Rs 132.23 billion on overseas education during the review period—over Rs 50 billion more than the country's total tourism earnings. Combined spending on education and foreign travel reached Rs 193.65 billion, contributing to a service account deficit of Rs 72.54 billion and underscoring the increasing strain on Nepal's foreign exchange position.