68.3% of Nepalis in the US migrated after 2010, with the 2020 Census confirming approximately 208,000 Nepalis residing across the country
KATHMANDU, Dec 18: A new report on Nepali diaspora in the United States of America has revealed that the estimated population of the Nepali diaspora in the US has reached at least 185,000 to 215,000 individuals at present. The report was based on the 2023 estimates of the 2020 US Census.
According to the report titled “Nepali Migrant Dreams in the American Landscape: An Exploration of the Nepali Diaspora in the United States” launched by the Institute for Integrated Development Studies (IIDS) in the capital on Tuesday, this growth, over the past 12 years, reveals that 68.3% of this diaspora arrived post-2010.
The 2020 US Census also corroborates this, with approximately 208,000 Nepalis living across the US. While the most concentrated states are Texas, California, Virginia, Maryland, and New York, the most concentrated cities are Dallas, Forth Worth, Richmond, New York, Baltimore, San Francisco.
The report, authored by Dr Arun R Joshi, Vibhav Pradhan and Ruzel Shrestha, looks at the multifaceted diaspora experience and investigates the intricate processes of migration, settlement, and socio-economic integration of the Nepali diaspora in the United States.
Nepali diaspora is against traditional malpractices in Nepal
The report highlights that the predominant migration motivations include educational opportunities (58%), improved living standards, and job prospects. Career advancement (42%) and better quality of life (38%) are significant factors, alongside economic considerations such as better employment opportunities abroad (19%) and limited job prospects in Nepal (25%). Furthermore, Nepal's unpredictable political climate (26%) remains a notable driver of migration.
The report also revealed that 5.3 million principal applicants applied for the EDV program from Nepal between 2012 and 202. Among Asian countries, Nepal had the second highest number of yearly applicants in 2021. On average, around 4,098 EDV applicants are selected from Nepal every year, which is 7.45% of the total EDV awardees globally.
Majority of Nepali migrants spent below $10,000 to migrate to the US, but a significant proportion say they spent $50,000 or more. Last year alone, over 112,000 students received their No Objection Certificates required for abroad studies - which means more than 300 students left Nepal every day for better education elsewhere. Also last year, students who went abroad for studies took Rs 125 billion with them which amounts to 78% of Nepal’s total export earnings.
Remittances from the Nepali diaspora in the US make a substantial economic impact in Nepal, with 59.6% of Nepali diaspora sending money back to Nepal. Total remittance from the US to Nepal in 2023 is estimated at $1.28 billion, accounting for 11.6% of Nepal's total remittance inflow, according to the report.
Notably, the remittance per capita contributions from the US outpaces other major remittance-sending countries by significant margin, with the average annual remittance sent from the US standing at $8,633.04 in 2023. Estimated per worker remittance sent from the US is 1.51 times higher than those from Qatar, 2.28 times higher than Malaysia, 1.72 times higher than the UAE, and 1.95 times higher than Saudi Arabia.
In terms of occupation, technology (34.7%) is the leading employment sector for Nepalis in the US, followed by healthcare (16.1%), finance (8.2%), education (7%), and food services (6.8%).
Gender income disparities persist across all sectors, with men earning significantly more than women. For instance, men in technology earn a median income of $80,000 compared to $50,000 for women, while in healthcare, men earn $45,000 versus $38,000 for women. Self-employed males report median earnings of $72,000, far higher than the $40,000 for females.
In his opening remarks during the launch of the report, Dr Bishwas Gauchan, executive director at IIDS, emphasized the alarming rate of outmigration, with 2.4 million Nepalis leaving the country post-COVID which makes up 8% of the population in just three years. While addressing this structural issue in the short term may be challenging, he highlighted the need for persistent government support and leveraging the diaspora's potential.
Declaring the next decade, the "Decade of the Diaspora," he showcased IIDS initiatives such as recognizing diaspora achievements and hosting summer internships to reconnect with the global Nepali diaspora. He stressed the importance of transforming challenges into opportunities through re-engagement, capacity building, technology transfer, and investment, particularly in the health and IT sectors. Additionally, he underscored the need to engage not only the first generation but also the second-generation diaspora for Nepal's growth.
Ganesh Prasad Dhakal, joint secretary at the Ministry of Foreign Affairs (MoFA), highlighted the crucial role of the Nepali diaspora in global economic growth. He noted their contributions through knowledge sharing, technology transfer, and remittances, and stressed that addressing their needs should be a priority in Nepal's foreign policy.
Jason P. Meeks, deputy chief of mission at the US Embassy in Kathmandu, highlighted the key role of the Nepali diaspora in driving innovation in sectors like fintech and green energy, while also addressing gaps in healthcare, education, and technology.
“By connecting Nepali Americans with local businesses and policymakers, Nepal can access valuable expertise,” he said. He emphasized that successful diaspora entrepreneurs can boost Nepal's global presence and attract investment, urging them to invest in the country's development.
