Overview
Telecommunications services have experienced significant growth over the last decade. Nepal’s telecom sector is dominated by state-owned Nepal Telecom (NTC) and Ncell, whose ownership—split between a U.K.-registered company and a local firm—is disputed, with Ncell claiming domestic status based on the investors’ Nepali origin to avoid nationalization of the company in 2029, while the government treats it as foreign-owned.
Both NTC and NCell are expanding their geographical reach and range of services and offer equipment sales potential. Business opportunities exist for equipment sales, network installation, and installing fiber optic cable. NCell is also investing in upgrading its infrastructure; however, equipment sales with after-sales service are a prerequisite for the project. Local microwave and cable TV services depend on U.S. firms for much of their equipment, as do Nepal’s 30 cable TV networks.
Table: Exports/Imports of Telecommunications Equipment (U.S. $ thousands)
2021 | 2022 | 2023 | 2024 | |
| Total Local Production | 0 | 0 | 0 | 0 |
| Total Export | 2,526 | 911 | Not available | Not available |
| Total Import | 454,077 | 321,003 | 276,151 | 246,599 |
| Imports from the US | 740 | 457 | 537 | 214 |
| Total Market Size | 451,551 | 320,092 | 276,151 | 246,599 |
(total market size = (total local production + imports) - exports)
Total Imports: UN Comtrade Database
Imports from U.S.: UN Comtrade Database
Leading Sub-Sectors
- Satellite services for phone and internet
- Fiber optic cables
- VHF radio, transmitter, and other equipment
Opportunities
The number of cellular mobile subscribers has increased from 243,579 in 2005 to 39 million by 2021. Nepal’s population is approximately 30 million, meaning there are 1.3 mobile subscriptions for every Nepali citizen. Chinese companies have won bids to supply technology and equipment to the two leading Nepali cellular telephone operators (NTC and NCell), but the expanding mobile phone market offers additional possibilities for U.S. companies.