Over three decades, foreign employment has become a cornerstone of Nepal's economy, shaping the lives of millions of Nepali families and contributing significantly to the nation's gross domestic product. According to IOM (International Organisation for Migration) regional office for Asia and the Pacific, Nepal received around USD 11 billion in remittancesin 2023, which accounted for more than 26 percent of the country's GDP.Over the years, the remittances sent by Nepali workers abroad have played a vital role in reducing poverty and improving the living standards of many households. World Bank’s 2016 studies suggests that the high stake of remittances has also contributed to reduction in trade deficit as well as post-earthquake reconstruction and poverty reduction in Nepal.

For countless families, these financial inflows have provided access to better education, healthcare and housing; thereby offering a pathway out of poverty.However, the growing trend of youth migration in search of employment opportunities abroad has sparked a broader debate about the long-term implications for Nepal's socio-economic landscape. According to the ILO(International Labor Organization) 1,600 workers are leaving for foreign employment each day via airportwhile close to 3.5 million migrant labour permits have been issued to Nepaleseduring last 9 years. As a significant portion of the country’s productive age group leaves the country to work in foreign lands, concerns have emerged regarding the sustainability of this model and its effects on the local economy, social structures and the future workforce.

This irony is further compounded by the fact that the remittances, while beneficial in the short term, do not necessarily contribute to long-term economic development.The current economic model incentivizes migration, as many Nepalese perceive foreign employment as the only viable means of achieving financial security and upward mobility.The Nepal Development Update (October 2024) by the World Bank Group shows that remittance inflows increased to a nine-year high on the back of record high migration in fiscal year 2023. Much of the money sent back is used for consumption purchasing land, repaying loans and improving living conditions, rather than being invested in productive sectors that could create jobs and drive economic growth within Nepal.

The heavy reliance on remittances creates a situation where the country's economic stability is tied to the fortunes of its diaspora. This dependence is problematic because it can lead to economic vulnerability, especially if the global demand for migrant labor declines or if geopolitical factors disrupt the flow of remittances. Moreover, the reliance on remittances can discourage the government from investing in local industries and infrastructure, as the immediate financial inflow from abroad provides a temporary solution to economic challenges. Therefore, while remittances have been beneficial, they should be seen as a temporary measure rather than a long-term solution to Nepal's economic challenges.

In rural Nepal, there exists a deeply ingrained belief that if one fails academically, the only viable option is to seek employment abroad in labour jobs. This phenomenon is driven by a combination of factors, including the desire for a better life, the allure of higher wages, and the lack of sufficient local opportunities. This mentality not only deprives the country of its youthful workforce but also exposes these individuals to the risks associated with working abroad without adequate skills or proper orientation.

The narrative of failure leading to foreign employment reflects a broader issue within Nepal’s educational system, where academic success is often seen as the only pathway to a secure future. This perception needs to be challenged and reformed, with a greater emphasis on diverse career opportunities and the value of vocational training. There must be a concerted effort to change the rural mindset through education and awareness, promoting the idea that success can also be achieved within Nepal, through local opportunities that do not necessitate leaving the country.The current curriculum, updated only every 8-10 years, often promotes foreign employment as the only viable option for youth, particularly those who do not excel academically. This has created a situation where many aspiring workers are ill-prepared for the challenges they will face abroad, lacking both the technical skills and the legal knowledge necessary to navigate foreign job markets.

The problem is further compounded by widespread practices of obtaining certificates through briberyrather than genuine skill acquisition. This corruption undermines the value of the certifications and leaves workers vulnerable to exploitation, as they may not possess the actual skills required by their foreign employers. Teachers, particularly those in social sciences, have recognized the need for better orientation and preparation for youths considering foreign employment. However, the existing system fails to adequately address the need for skill verification and mental preparation, leaving many Nepalese ill-equipped to succeed abroad.This gap in education and skill development calls for an overhaul of the curriculum to include practical skills, legal education and ethical standards that discourage corruption in the certification process. By equipping students with relevant skills and knowledge, Nepal can ensure that its workers are better prepared for the demands of foreign employment and are more likely to succeed in their endeavors.

Furthermore, the current curriculum offered by the Council for Technical Education and Vocational Training (CTEVT) does not adequately align with the standardsof the international job market. For instance, the garment training program under CTEVT focuses on skills such as blouse and petticoat making, which may hold relevance within the Nepali context, however, these skills do not meet the requirements of destination countries where Nepalese women often seek employment. Many destination countries are looking for skilled manpower that can fulfill specific roles in the garment industry, such as production line operation, quality control and textile technology, rather than traditional garment-making skills that are less applicable in those settings. By incorporating internationally relevant skills and knowledge, CTEVT can better prepare individuals for successful careers abroad and support their aspirations for improved livelihoods.

Managing the foreign employment sector in Nepal presents significant challenges that include corruption within manpower agencies, the exploitation of undocumented labor, and inadequate government oversight are major issues that plague the sector. Many Nepalese seeking foreign employment fall victim to unscrupulous agents who charge exorbitant fees and provide false promises, leaving workers in precarious situations once they arrive in their destination countries.Furthermore, the existing labor migration laws, which predate Nepal's transition to a federal democratic republic, are outdated and often fail to provide adequate protection for workers. These laws need to be revised and strengthened to ensure that workers' rights are protected and that they have access to legal recourse in cases of exploitation or abuse.While foreign employment is not inherently wrong, it requires proper orientation, legal compliance and management to ensure the safety and well-being of Nepali workers abroad. The government must take a more active role in regulating the sector, cracking down on corrupt practices, and ensuring that workers are fully informed of their rights and responsibilities before they leave the country.

Despite the numerous challenges associated with foreign employment, there are also opportunities for improvement that could benefit Nepal in the long run. The experience and skills gained by workers abroad can be invaluable to the country's development, provided they are given the right support and opportunities to apply their knowledge upon returning home.One potential area for improvement is the more productive use of remittances. Rather than being spent solely on land purchases and loan repayments, remittances could be channeled into entrepreneurship and local development projects. By encouraging returning workers to invest in businesses and community initiatives, Nepal can create a more self-sustaining economy that relies less on foreign labor and more on domestic growth.Additionally, the government could implement programs that facilitate the reintegration of returning workers into the local economy, helping them to transfer their skills and experiences into meaningful employment or entrepreneurial ventures. This approach would not only reduce the country's reliance on remittances but also contribute to the overall development of Nepal's economy.

The issues surrounding foreign employment in Nepal are complex and multifaceted, encompassing social, economic and legal challenges. However, by addressing the rural mindset that drives many to seek employment abroad, improving educational and skill development programs, and managing the foreign employment sector more effectively, Nepal can mitigate the negative impacts and harness the potential benefits of this phenomenon. There is a need to recognize the importance of a balanced approach that protects the rights of workers while promoting sustainable development within the country. By focusing on these key areas, Nepal can create a future where foreign employment is an option rather than a necessity, and where the country's economic stability is grounded in domestic growth and self-reliance.

Kharel is the host and producer of Global Perspectives and Inspiring Women talk shows.

Amatya is the Executive Director at Community Action Centre Nepal.

Shrestha is aformer Executive Director of the Foreign Employment Board Secretariat, Nepal.)