As United Kingdom decided to leave the European Union it will certainly have impacts on more than 100,000 Nepalese living in the UK. Direct impacts on Nepal and its trade may not be as big as our neighbours India and China but we can not be exception in globalise world. Here we present how Britain exiting from the EU (Brexit) will affect Nepal and Nepalese across the world.
1 As many Europeans stop coming to the UK (once Brexit is officially implemented, well after two years), the housing crisis may not be as serious as of now. According to experts housing prices will certainly not go high if not coming down, meaning more and more Nepalis might find right time to buy the houses joining the property ladder. Opportunity in crisis for first time buyers.
2 Devaluation of pound sterling means UK will be cheaper destination to travel. Some richer class Nepalese might grab this opportunity to visit one of their dreamland.
3 As thousands of British Gurkhas are moving permanently to the UK by selling their everything in Nepal. There could be no better time than this to bring money in Britain when currency is so low.
4 Just like any other people living in the UK, Nepalese will have more job opportunities.
5 United Kingdom is one of the biggest donors of Nepal. The UK donated USD 168 millions in 2014-15 fiscal year alone. This means Nepal will get less on foreign aid from the UK due to currency devaluation.
6 Rising value of dollar means Nepal pays more to import goods making general lives more expensive. Import based economy like Nepal will suffer which ultimately create inflation.
7 Big blow to EU citizens of Nepalese origin living in the rest of the European countries who are planning to move to the UK taking advantage of ‘free movement’. Especially Nepalese living in Portugal and Spain might suffer more from this as they had spent so much time and energy to come back to the UK.
8 Remittance based Nepal’s economy will have mixed impacts due to fluctuation on currency as thousands of Nepalese live in the UK, USA, and rest of the world who regularly send money back to Nepal.
9 We Nepalese love gold and now we have to pay the price as dollar goes up.
10 It will be more expensive for British travellers to visit Nepal which might affect on travel and tourism industry of country. However, others argue that Brits might choose cheaper destination like Nepal when their pocket is tight. More than 35,000 British tourists visit Nepal annually.
Despite all these points Nepal will have very much limited impacts from Brexit.