Nepal’s Information Technology (IT) sector is reaching new heights, fueled by government incentives and active participation from the private sector. With the potential for generating billions in revenue, the country’s IT industry is poised for remarkable growth.
The expansion of internet access and advancements in technology have enabled Nepal to establish itself as a significant player in IT service exports. Digitalization has created opportunities not only within the country but also in international markets, where the demand for Nepali IT services continues to grow.
Ajit Bikram Shah, Chairperson of the Nepal Industry Confederation’s IT Council, highlighted that IT services worth approximately $1 billion are exported annually. With new legal provisions allowing Nepali companies to open branch offices abroad, IT service exports are expected to become even more streamlined and lucrative.
Growth and Opportunities in IT
The IT sector encompasses services like hardware development, software creation, graphic designing, animation, telemedicine, and online marketing. According to Sulav Budhathoki, head of Innovative Nepal Group, Nepal could generate over NPR 1 trillion annually if it can develop skilled human resources in the IT domain.
Recognizing IT as a driver of economic growth, the government has declared the current fiscal year as the start of Nepal’s “IT Decade.” Over the next 10 years, the government aims to achieve NPR 3 trillion in exports and create 1.5 million jobs in the sector.
Digital Nepal Initiative and Infrastructure Development
The government’s Digital Nepal Framework has been revised to incorporate initiatives like high-speed internet, IT parks, and modern infrastructure. According to Minister for Communications and IT, Prithvi Subba Gurung, the long-term vision is to promote the digital economy, contributing 5% to Nepal’s GDP.
Charting the Path Forward
With a focus on digital governance, innovation, and job creation, Nepal is making significant strides in becoming a global IT player. Currently, over 80,000 Nepalis are employed in the IT sector, with demand growing annually.
Government incentives, private-sector investment, and efforts to produce skilled professionals will be critical in transforming Nepal’s IT sector into a cornerstone of its economy.
The growing enthusiasm in Nepal’s IT sector signals a transformative era for the country. With strategic policies, robust infrastructure, and investment in human capital, Nepal is set to emerge as a significant player in the digital age.