Nepal has resumed issuing permits for its citizens to work in the Middle East, reversing a suspension that had been imposed for nearly six weeks due to escalating conflict in the region. The decision reflects both strong demand from workers and economic compulsions, as overseas employment remains a critical lifeline for the country’s economy and workforce.
Nearly 75 per cent of Nepali migrant workers are employed in Middle Eastern nations, primarily in labour-intensive sectors such as construction, where demand for low-cost manpower remains high. These workers form the backbone of Nepal’s remittance economy, with money sent back home contributing more than a quarter of the country’s approximately $42 billion economic output. This heavy dependence on foreign employment highlights the structural challenges within Nepal’s domestic job market.
The government had halted the issuance of work permits for Gulf countries on March 1, just a day after the outbreak of conflict involving the United States, Israel, and Iran, citing safety concerns for its citizens. However, with conditions stabilising to some extent and pressure mounting from job seekers, authorities have now decided to resume the process following consultations with the foreign ministry.
One of the key drivers behind this decision is Nepal’s persistently high unemployment rate, particularly among the youth. With unemployment estimated at over 20 per cent, one of the highest in South and Southeast Asia, the country faces limited capacity to absorb its growing workforce. As a result, migration has become not just an option but a necessity for many young Nepalis seeking stable incomes and better opportunities.
Industry estimates suggest that at least 3 million Nepali citizens are currently working abroad, while labour unions indicate that around 1,500 youths leave the country every day for foreign employment. This steady outflow underscores the scale of reliance on overseas jobs and the limited alternatives available within Nepal’s domestic economy.
The resumption of permits is therefore not merely an administrative decision but a reflection of deeper economic realities. While it enables thousands of workers to pursue employment opportunities abroad, it also highlights Nepal’s continued dependence on migration and remittances as a key pillar of its economic stability.
