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Cost of living in Nepal

Nepal is 74% cheaper than the US, ranking #188 of 203 countries we cover for cost of living.

World Bank data through 2024 · last reviewed 2026-06.

Cost of living · US = 100
25.6
Ranks #188 of 203 · 74% cheaper than the US
GDP / capita (PPP)
$5,737
GNI / capita (PPP)
$5,830
Inflation · YoY
4.7%
Population
29.7M
Capital
Kathmandu
Density
207 /km²
Urban
67%
Area
147.2K km²

What drives the cost here

Price levels by category, where the world average = 100. Above 100 is pricier than the global norm; below it is cheaper.

In Nepal, transport is the priciest category relative to the world (85), while health is the most affordable (19).

Transport 85
Food & groceries 67
Restaurants & hotels 37
Housing & utilities 31
Communication 29
Health 19

Category price levels: World Bank ICP 2021 (world average = 100) · source

Nepal on the map

What your money is worth here

A $100,000 US lifestyle would cost roughly $25,500 in Nepal.

Quality of life

58/100 · #151 of 198

Beyond cost — health, safety, and connectivity. The score is a transparent, equal-weight composite of the verified metrics below (see methodology).

Quality-of-life score
58 / 100
Our transparent equal-weight composite
Life expectancy
71 yrs
World Bank · 2024 · source
Safety · homicide /100k
2.1
UNODC · 2020 · source
Infant mortality /1k
22
World Bank · 2024 · source
Internet users
46%
ITU · 2024 · source
Safe drinking water
16%
WHO/UNICEF · 2024 · source
Air quality · PM2.5
46 µg/m³
WHO · 2020 · source

About Nepal

During the late 18th and early 19th centuries, the principality of Gorkha united many of the other principalities and states of the sub-Himalayan region into a Nepali Kingdom. Nepal retained its independence after the Anglo-Nepalese War of 1814-16, and the subsequent peace treaty laid the foundations for two centuries of amicable relations between Britain and Nepal. In 1951, the Nepali monarch ended the century-old system of hereditary rule and instituted a cabinet system that brought political parties into the government. That arrangement lasted until 1960, when political parties were again banned, but it was reinstated in 1990 with the establishment of a multiparty democracy within the framework of a constitutional monarchy.

Read the full background

A Maoist-led insurgency broke out in 1996. During the ensuing 10-year civil war between Maoist and government forces, the monarchy dissolved the cabinet and parliament. In 2001, Crown Prince DIPENDRA first massacred the royal family and then shot himself. His uncle GYANENDRA became king, and the monarchy reassumed absolute power the next year. A peace accord in 2006 led to the promulgation of an interim constitution in 2007. After a nationwide Constituent Assembly (CA) election in 2008, the newly formed CA declared Nepal a federal democratic republic, abolished the monarchy, and elected the country's first president. When the CA failed to draft a Supreme Court-mandated constitution, then-Prime Minister Baburam BHATTARAI dissolved the CA. An interim government held elections in 2013, in which the Nepali Congress (NC) won the largest share of seats. In 2014, NC formed a coalition government with the second-place Communist Party of Nepal-Unified Marxist-Leninist (UML). Nepal's new constitution came into effect in 2015, at which point the CA became the Parliament and Khagda Prasad Sharma OLI the first post-constitution prime minister (2015-16). He resigned ahead of a no-confidence motion, and Parliament elected Communist Party of Nepal-Maoist (CPN-M) leader Pushpa Kamal DAHAL as prime minister. The parties headed by OLI and DAHAL ran in coalition and swept the parliamentary elections in 2017, and OLI was sworn in as prime minister in 2018. OLI's efforts to dissolve parliament and hold elections were declared unconstitutional in 2021, and the opposition-supported NC leader Sher Bahadur DEUBA was named prime minister. The NC won a majority of seats in the parliamentary elections in 2022, but DAHAL then broke with the ruling coalition and partnered with OLI and the CPN-UML to become prime minister. DAHAL's first cabinet lasted about two months, until OLI withdrew his support over disagreements about ministerial assignments. In early 2023, DAHAL survived a vote of confidence and formed a coalition with the NC to remain prime minister.

Background from the CIA World Factbook (public domain), archived 2026-06-03.

Frequently asked

Is Nepal expensive to live in?

Nepal is 74% cheaper than the US, ranking #188 of the 203 countries we track. Its most expensive category relative to the world is transport; health costs the least.

How much money do you need to live in Nepal?

A lifestyle that costs $100,000 in the United States would cost roughly $25,500 in Nepal, going by overall price levels. The salary translator turns your own figure into a local equivalent.

Is Nepal cheaper than the United States?

Yes. Its overall price level is 25.6, against 100 for the United States.

What is the quality of life in Nepal?

Nepal scores 58 out of 100 on our quality-of-life index (#151 of 198), a composite of life expectancy, safety, health, and connectivity, with life expectancy around 71 years.

Every number, sourced.

We cite the exact source and year for each figure. Derived values are computed at build time, never hand-entered.

Price level index (US = 100)
Derived: nominal ÷ PPP GDP per capita, indexed to the US
25.6
GDP per capita (PPP)
World Bank · 2024 · source
$5,737
GNI per capita (PPP)
World Bank · 2024 · source
$5,830
Inflation (annual %)
World Bank · 2024 · source
4.7%
Population
World Bank · 2024 · source
29.7M
Population density
World Bank · 2023 · source
207 /km²
Urban population
World Bank · 2024 · source
67%
Surface area
World Bank · 2023 · source
147.2K km²

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