A Nepali diaspora-led think tank is urging Nepal’s government to overhaul its approach to engaging Nepalis living abroad, calling for a comprehensive new policy and law that goes beyond amendments to the existing Non-Resident Nepali Act.
Kathmandu-based The Nepal Policy Institute, a global think tank promoted by the Nepali diaspora, released the recommendation after hosting a virtual policy discourse that brought together legal experts, economists, migration specialists and entrepreneurs, including several based in the United States. The group said Nepal should treat the current debate over amending the NRN Act as a strategic policy window to redefine its long-term relationship with an estimated 3 million Nepalis living overseas, roughly 10% of Nepal’s domestic population.
California-based participants played prominent roles in the discussion. Dr. Bineet Sharma, who teaches at the University of California, Santa Cruz Extension, presented data showing Nepali remittances reached $10.86 billion in fiscal year 2023-24, equal to 25.3% of Nepal’s GDP. Sharma noted that 51% of Nepali Americans age 25 and older hold a bachelor’s degree or higher, arguing that the diaspora represents a growing knowledge and economic asset rather than just a source of worker remittances.
Basudev Ghimire, a California entrepreneur and advocate for citizenship continuity by descent, said stronger legal belonging would boost diaspora investment confidence. He suggested that if Nepalis abroad built around 100,000 houses in Nepal, it could inject significant capital into the economy through construction, taxes, employment and banking activity.
NPI Chair Dr. Khagendra Raj Dhakal, founder and chair of the think tank and a professor at King Mongkut’s University of Technology North Bangkok in Thailand, proposed replacing the narrow NRN label with a broader “Nepalis Abroad” framework divided into three categories: Nepali citizens residing abroad, including migrant workers, students and professionals; former Nepali citizens who have acquired foreign citizenship; and Persons of Nepali Origin, including later-generation diaspora and historically settled Nepali-speaking communities. Participants said the framework would allow tailored policies for each group.
Legal experts said constitutional provisions limit what can be achieved through NRN Act amendments alone. Senior Advocate Dr. Narayan Ghimire of Nepal’s Supreme Court noted that Article 14 of Nepal’s Constitution restricts NRN citizenship primarily to economic, social and cultural rights, meaning broader citizenship issues may require constitutional revision. Former Judge Dr. Shree Krishna Bhattarai emphasized that provisions related to citizenship by descent under Article 11 could provide a stronger legal basis for maintaining ties with Nepalis who later acquire foreign citizenship.
Dr. Prabhat Adhikari, a returnee practitioner and founding central committee member of Nepal’s Rastriya Swatantra Party, warned of a potential demographic trap as Nepal’s fertility rate dropped from 2.51 children in 2011 to 1.85 in 2021, below the replacement level. He pointed to 1.67 million total departures from Nepal in 2024 alone, arguing that if Nepal fails to reconnect with its diaspora, labor shortages could increase reliance on foreign workers from neighboring countries.
The discourse outlined 11 recommendations, including developing a comprehensive Nepalis Abroad Engagement Policy and enacting a dedicated law, addressing immediate procedural barriers in investment, property and transactions through NRN and citizenship law amendments, and initiating constitutional review where necessary, particularly concerning citizenship continuity.
The group also called for expanding protections for Nepali citizens abroad, including labor rights, consular support and external voting rights, and creating structured mechanisms for diaspora investment, knowledge transfer and cultural engagement.
“This is not merely a demand from the diaspora, but a constructive offer to work with the state to address a genuine national policy challenge,” Dhakal said.
NPI said it will continue engaging with Nepal’s government, political parties and civil society to promote a coherent, future-oriented framework for strengthening the country’s relationship with its global community.
Susan Shrestha
View More PostsSusan Shrestha is a Europe-based journalist. He covers a wide range of topics, from local matters to global affairs. Shrestha previously worked as a reporter for Khasokhas in Nepal.
