Once a Nepali, always a Nepali—the NRN bill draft begs to differ

Nepal's economy, currently valued at $49 billion with a sluggish 3.5 percent growth rate and minimal foreign direct investment (FDI) of 0.2 percent, is struggling under the weight of crony capitalism, policy corruption, and weak governance. The nation harbors ambitions of reaching a $100 billion economy in the coming years, a goal that experts suggest could be significantly bolstered by learning from China's economic transformation, particularly its engagement with the Chinese diaspora.

China's success in attracting over 67 percent of its total FDI from overseas Chinese through preferential tax rates, special economic zones, and simplified legal frameworks highlights a crucial lesson for Nepal: a nation's diaspora can be its most loyal investors. Paradoxically, Nepal's new draft for the Non-Resident Nepali (NRN) Act appears to be turning away from the very community it should be actively courting, the Nepali-Bhutanese diaspora.

These individuals, of Nepali origin, have established themselves in countries like the United States, the United Kingdom, and Australia. Resettled as refugees, they have achieved significant economic success, with a median household income in the U.S. of $100,151, surpassing the American Asian average. As their second generation enters higher education and the workforce, this community represents a high-potential investment generation that Nepal cannot afford to ignore. Failing to connect this generation through policy and law is a missed opportunity to secure vital social, cultural, and economic allies.

The cultural connection remains strong, as evidenced by vibrant community events in the U.S. where young generations proudly celebrate Nepali heritage through traditional songs, dances, and festivals, waving the Nepali flag. These informal cultural ambassadors, deeply engaged with their roots, are largely unacknowledged by Nepal's policymakers. The current NRN draft, however, seems poised to overlook this valuable community, a bureaucratic oversight that risks alienating Nepal's most committed potential investment partners.