The Government of Nepal has introduced the new regulations, published in the Nepal Gazette on 2083/03/25, requiring institutions to obtain permission before operating educational consultancy, language teaching, language testing or preparation-class services. Educational consultancy licences will be issued by the Ministry of Education and Sports, while provincial or local governments may regulate language teaching, language testing and preparation classes under their own laws. Consultancy licences will be valid for one year and must be renewed annually. Existing consultancies licensed by provincial or local governments before the new rules took effect must apply to the ministry within three months to continue operating.
The rules impose major financial and operational requirements. An educational consultancy must maintain a Rs 2.5 million security deposit, with an additional Rs 2.5 million for every branch; the licence fee is Rs 50,000 and annual renewal costs Rs 25,000. Deposits for preparation classes and language teaching are Rs 100,000, while language-testing institutions must deposit Rs 500,000. All financial transactions must be conducted through digital or banking channels, consultancies cannot accept cash from clients, and VAT invoices must be issued for service fees. Institutions must publicly disclose their fees, maintain student and financial records, submit annual reports and provide quarterly information on students sent abroad and any income received from foreign educational institutions. The regulations also require consultancy businesses to have domestic investment only; any existing foreign investment must be converted to Nepali ownership within one year.
Student protection is a central feature of the regulations. Consultancies must employ qualified counsellors with at least a bachelor’s degree and relevant training, verify that foreign universities are legally established, accredited and authorised to enrol international students, and enter into a written agreement with every client covering service fees, admission requirements, tuition, scholarships, facilities, refunds and other conditions. If a student becomes stranded abroad or the recommended institution is found to be illegal because of the consultancy’s advice, the consultancy can be held responsible and required to provide reasonable compensation for financial and psychological losses. The ministry may also grade consultancies A, B or C based on service quality, student outcomes and complaints, while foreign universities may be risk-classified and institutions repeatedly causing problems can be placed under heightened monitoring or barred from receiving Nepali students.
The regulations also significantly restrict educational fairs. Events specifically targeting Nepali students for study abroad promotion will not be approved, while “Study in Nepal” fairs and programmes promoting Nepali universities, local languages, skills, culture, Buddhist philosophy, Himalayan studies and other Nepal-focused subjects may be organised. Consultancies that operate without renewal, mislead students, engage in financial exploitation or fraud, send students to unauthorised destinations, use deceptive advertising, fail to maintain transparent banking records or leave students stranded may have their licence cancelled and security deposit confiscated, with cases referred to relevant authorities for further legal action.
