Tech News Nepal

Nepal IT Sector in 2025: Growth, Opportunities, and Challenges

23 Jun, 2026 5 min read By System Administrator

Nepal IT industry generated over NPR 80 billion in revenue in 2024 and is projected to grow at 18% CAGR through 2028.

Key Growth Drivers

  • IT Park Banepa — government-backed tech hub attracting global companies
  • Digital Nepal Framework — 80 digital initiatives across 8 pillars
  • Growing Talent Pool — 20,000+ IT graduates annually from Nepali universities
  • Cost Advantage — competitive rates vs India for comparable quality

Challenges

  • Power reliability outside Kathmandu Valley
  • Brain drain to Australia, UK, and the Gulf
  • Limited local VC ecosystem for early-stage startups

At Digo Tech Hub, we see enormous opportunity in helping local businesses digitise and in serving international clients who see Nepal as a quality outsourcing destination.