April 19: The average stay and expenditure of foreign tourists in Nepal has seen a slight improvement in 2023. The Ministry of Culture, Tourism and Civil Aviation announced that the average length of stay of tourists in 2023 increased by 0.8 percent to 13.2 days compared to 13.1 days in 2022.

Their daily expenses have also increased to USD 41, according to the 'Nepal Tourism Statistics 2023' recently released by the ministry. According to the report, the average daily expenditure of tourists was $40.50 in 2022.

During the two-year period of the COVID-19 pandemic (in 2020 and 2021), the length of stay of tourists in Nepal was 15.1 and 15.5 days respectively. The stay of tourists increased in those years due to the lockdown and quarantine measures during the pandemic period. As the length of stay increased, the average expenditure incurred by the tourists also increased. In 2020, the daily expenditure of tourists was USD 65. In 2021, such expenses decreased to USD 48.

Binayak Shah, president of the Hotel Association Nepal (HAN), disputed the tourists’ expenditure figures published by the government, arguing that they significantly underestimate actual spending.

He claims that tourists must have spent at least twice the amount mentioned by the government. He argues that the data fails to capture expenditures accurately.

According to government data, the contribution of the tourism sector to the Gross Domestic Product (GDP) is 3.2 percent. “The data of the World Bank indicates that it is much higher than that," he said.

Shah says that the real contribution of the tourism sector is not known due to the lack of uniformity in the data of the government, tourism entrepreneurs and other organizations.

"For this, the government should implement satellite accounting (an integrated information collection system that records the transactions made by tourists) at the earliest," he said, adding, “It helps to provide more precise insights into tourist spending habits.”

Shah's concerns echo those of tourism professionals who emphasize the need to expand tourist services and destinations beyond Kathmandu, Pokhara, and Chitwan to prolong tourists' stays in Nepal. However, challenges such as poor road conditions and limited operational airports hinder intra-country travel, making it difficult for tourists to extend their visits.