Kathmandu: Government of Nepal has taken measures to encourage Nepalese ex-pat workers to contribute more to the nation. A special quota on IPOs issues, additional 10 points of interest on saving deposits, inclusion in the social security scheme, and telemedicine services have been introduced by the GoN to encourage ex-pat workers to use the formal channel of remittance.
This week alone, the GoN launched two special social security schemes aimed at Nepalese ex-pat workers. The Social Security Fund launched a scheme for expatriates to contribute to the Fund and get benefits similar to other beneficiaries. Further, the Foreign Employment Board(FEB) has announced telemedicine facilities for the ex-pat.
According to the Fund, migrant workers or self-employed abroad can contribute a minimum of NPR 2,002 monthly. The minimum contribution amount is equivalent to 21.33 percent of the minimum basic monthly salary fixed by the GoN for domestic industrial laborers. A maximum of three times the minimum basic salary can be paid to the scheme. The minimum basic monthly salary is NPR 9,385.
According to the FEB, the telemedicine services will be launched 2nd April 2023. The service will be available during Nepalese office hours, excluding public holidays, by phone and via social media channels such as Viber, WhatsApp, and Imo. Specialist services will be available every Sunday and Friday, at the recommendation of a medical officer.
The FEB is hopeful that telemedicine facilities will be useful for the physical well-being of Nepalese Migrant Workers.
The GoN has given priorities in many sectors to migrant workers to encourage them to remit money home through formal channels. An additional 10-point interest rate is provided to migrant workers against foreign employment saving deposits and a special quota has been offered to them on the issue of initial public offerings (IPOs).
The central bank, Nepal Rastra Banks, measures have helped improve the inward remittance in the country. Remittance continued to record healthy growth as foreign employment permits increased by 57% in FY23 (August-February). According to NRB, remittances stood 27% higher at Rs 690 billion in February, compared to a year ago. With the rise in remittance income, Nepal’s foreign exchange reserves increased by 10% (y-o-y) to USD 10.5 billion in the month that ended mid-February.
Remittance is one of the major source of foreign exchange reserve for Nepal.