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Profiling Returnee Migrant Workers for Labour Market Integration

Nepal’s labour migration can be divided into internal migration, migration to India and migration to countries other than India. The migration to countries other than India is referred as “foreign employment”. Labour migration for employment has been a common livelihood strategy for many Nepali people living in both rural and urban areas of the country. The remittances generated from the employment have become a major contributing factor to Nepal’s economy, which was equivalent to NPR 961.05 billion in the last fiscal year (FY 2020/21), ending mid-July, an increase of 10 per cent year to year. The remittance amount is equivalent to 22.5 per cent of Nepal's current gross domestic product of NPR 4.26 trillion evaluated at current market prices. Remittances have been contributing to the improvements in the living standards of Nepalese people where one in three Nepali households receives remittances. The spread of the COVID-19 pandemic has negatively impacted migrant workers in terms of loss of jobs and economic opportunities both in Nepal and in destination countries. Contrary to the general impression that remittances have been negatively impacted by the COVID 19 crisis, remittance flows proved to be resilient.