The protests in Nepal have not only caused loss of life and property, but have also dealt a heavy blow to the tourism industry, which is considered the lifeblood of the country's economy. Right at the time considered the peak tourist season, the number of visitors to Nepal has decreased by 30% compared to the same period last year, putting many businesses at risk of bankruptcy.
The wave of protests, spearheaded by Gen Z, stemmed from anger over the government’s ban on social media, along with the corruption and lavish lifestyles of the elite in one of the world’s poorest countries. The protests quickly escalated, leading to serious consequences. At least 72 people were killed and more than 2,000 injured in the clashes. Images of the parliament building, the presidential palace and a large hotel on fire were broadcast around the world, creating a negative and unsettling impression.
Chaotic protests in Nepal
This political and social unrest has led many countries to issue travel advisories to Nepal. Although the situation has calmed down and businesses have resumed, normally bustling areas such as Thamel – the tourist hub of Kathmandu – remain empty of tourists. Instead of crowded streets and bustling stalls, there is only silence and the lingering smell of smoke. The sudden drop in visitors has caused a crisis for local tourism businesses.
This situation greatly affects the lives of people and tourists when coming here at this time.
For many small businesses in Nepal, from hoteliers and restaurants to trekking tour operators, this is considered the “golden” period to earn revenue. September to December is the peak season when the weather is dry, ideal for expedition activities, especially trekking to the base camps of Everest - the world's highest mountain. However, the recent chaos has completely destroyed this expectation.
Many local businesses suffered heavy consequences from this protest.
Ram Chandra Giri, 49, a trekking tour operator and restaurant owner, could not hide his disappointment. “I am sitting idle because there are no tourists. Many groups have cancelled their tours in September,” he said. He added that an alarming 35% of guests have cancelled their bookings. Similarly, Renu Baniya, another hotel owner, said all the rooms booked for the next month have been cancelled. These stories are not isolated incidents, but a common reality across the country.
Nepal receives about 1.2 million tourists annually and tourism contributes about 8% to GDP. Right now, September to December, is considered the peak tourist season.
According to Deepak Raj Joshi, Director General of Nepal Tourism, the number of visitors has dropped by 30% compared to the usual. He also added that in the last few days, the cancellation rate has been at 8-10%, which is a big number for the tourism industry. These are telling numbers, reflecting the concerns of international tourists due to the unstable and uncertain situation in Nepal.
Nepal receives around 1.2 million tourists annually, and the tourism industry contributes around 8% to the country’s GDP. This is a huge number, reflecting the importance of tourism to the country’s economic development. Therefore, the severe impact of the tourism industry is not only a loss of revenue but also a major blow to the overall economy.
The situation in Nepal has gradually stabilized after the appointment of interim Prime Minister Sushila Karki. However, many areas in the capital Kathmandu still smell of smoke and people are still trying to clean up the debris.
Images of violent protests and burned buildings have been widely circulated in international media, sending a negative message. “The damage to government buildings and some hotels could send a negative message not only to tourists but also to investors,” said Joshi. This instability scares tourists away and makes investors hesitant.
Although the Nepalese government has taken steps to stabilize the situation, with the appointment of interim Prime Minister Sushila Karki, stability remains uncertain. The election scheduled for March 5, 2026, remains a major unknown, preventing Nepal's political and social situation from returning to full normalcy. In the middle of the capital Kathmandu, many areas still smell of smoke, and people are still trying to clean up the debris from the protests.
Despite the difficulties, Nepalese officials and tourism businesses remain hopeful that tourists will return. However, they understand that trust must be rebuilt carefully. “We have to be very honest in our communications. If the situation is not good, the tourism industry will never invite tourists to come,” Mr. Joshi emphasized. This affirmation shows the seriousness of managers in communicating, in order to rebuild the image of a friendly, safe Nepal.
Some foreign tourists who have remained in Nepal have reinforced this belief. “Our families and friends have called us back. But we have never felt unsafe,” said 55-year-old German tourist Franz, who was in Nepal during the protests. Franz’s story is a bright spot, showing that Nepal can still be a safe destination for those willing to do their due diligence.
Although the road ahead is challenging, Nepal’s natural beauty and the hospitality of its people can still hope for a revival. However, such a revival will only come when political stability is established and the tourism industry regains the confidence of the international community.
