IEPAN Says Foreign University-Affiliated Institutions in Nepal Operate Legally
Kathmandu, 30, September 2026— Stakeholders have urged the public to avoid making unsupported comments about educational institutions operating in Nepal through affiliation with foreign universities.
At a press conference, the International Education Providers Association of Nepal (IEPAN) said these academic programs are operating legally and under established regulatory arrangements.
IEPAN President Laxman KC said claims that academic programs operating with approval from the Ministry of Education could be shut down without a legal basis were entirely unfounded. He rejected what he described as misleading claims and maintained that foreign-affiliated educational institutions in Nepal are operating within the law.
KC said IEPAN had taken serious note of what it described as unverified, misleading and factually unsupported claims being circulated through various social media platforms by an individual about institutions that have long been providing higher education in Nepal through foreign university affiliations and with approval from the Government of Nepal's Ministry of Education.
Students seeking broader information about this segment of higher education can also refer to Collegenp's guide on foreign-affiliated university study options in Nepal.
Legal Basis and Regulation
According to KC, the institutions operate under the Foreign Educational Institution Operation and Regulation Regulations, 2083, issued under Section 19 of the Education Act, 2028.
He said guidelines governing the operation of higher education programs affiliated with foreign universities had previously been issued in 2059 BS and were amended over time before the government introduced the newer regulatory provisions.
Under the new regulations, such institutions are required to begin the quality assurance and accreditation process within three years, he said.
For background on quality assurance in Nepal, readers may also refer to Collegenp's UGC QAA Certificate Guide Nepal.
Employment and Economic Contribution
According to figures presented by IEPAN, programs from 35 foreign universities are currently being operated in Nepal, with more than 37,000 students studying at 58 approved institutions.
IEPAN claimed that approximately Rs. 25 billion has been invested in the sector and that it has generated employment for around 20,000 people, including 5,000 direct jobs and 15,000 indirect jobs.
KC also said that, according to data provided by the Ministry of Education itself, the sector has provided employment opportunities to 15,000 people directly and another 15,000 indirectly.
The source therefore presents two different figures for direct employment.
IEPAN further claimed that the institutions help prevent an annual foreign-currency outflow of between Rs. 50 billion and Rs. 60 billion, while generating domestic economic activity worth approximately Rs. 15 billion to Rs. 20 billion.
The association said the sector contributes more than Rs. 500 million annually to government revenue through student-related charges, taxes associated with university fee payments, income tax and other sources.
Teaching of Modern Subjects
IEPAN claimed that colleges affiliated with foreign universities have contributed significantly to Nepal's IT service exports by introducing programs in subjects such as artificial intelligence (AI), cybersecurity, big data and hospitality management.
KC said AI education should not be understood merely as learning how to operate software or use tools. He described AI as an academic field built on foundational subjects including mathematics, statistics, probability and algorithms.
He said one- to three-month training programs available in the market may help create awareness but, in his view, are not sufficient to produce professionally competent human resources.
Quality and Accreditation
Commenting on the quality of affiliated colleges, KC said institutions should be evaluated on the basis of their curriculum, teacher qualifications and infrastructure.
He said the relevant questions should not be limited to whether examinations are conducted, but should also include how assessment is carried out, where academic records are maintained and who sets the standards.
KC claimed that all 35 universities from seven countries whose programs are operated in Nepal are accredited by the relevant authorities and have permission to operate affiliated colleges outside their own territories.
IEPAN Rejects Allegations of Hundi Transactions
IEPAN strongly rejected allegations that university fee payments involve hundi transactions or money laundering.
KC challenged those making such allegations to submit evidence to the relevant authorities if they could show that any institution had sent even one rupee abroad through hundi.
He said that if such conduct were proven, the institution's IEPAN membership would be suspended immediately.
KC maintained that the fee-payment process is transparent. He said institutions submit student details to the Ministry of Education by the end of Magh each year, after which payments to foreign universities are made only through the banking system prescribed by Nepal Rastra Bank following examination and recommendation by the Ministry.
IEPAN called on the government to take legal action against individuals who, in its view, make defamatory claims about activities being conducted transparently.
The association also urged the government to:
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publish an updated list of approved institutions;
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investigate any institution where irregularities are found;
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introduce a clear visa policy for international students; and
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ensure transparent regulation as part of efforts to develop Nepal into a future study destination for international students.
Related information for prospective foreign students is available in Collegenp's guide on why study in Nepal for international students.
List of Foreign University-Affiliated Institutions in Nepal
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Ace International Business School
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Asian Institute of Technolgy and Management
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Balmiki Lincoln College
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Biratnagar International College
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British International College
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center for leadership and entrepreneurship
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CG Institute of Management
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Embark College
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Fishtail Mountain School of Hospitality, Tourism and Management
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Forbes College
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Global Academy of Tourism and Hospitality
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Global College International
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Green Peace Lincoln College
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Herald College
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Herald International College
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Himalayan College of Management
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I.E.C College of Art and Fashion
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Infomax College of IT and Management
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Informatics College Pokhara
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Institute of International Management Science
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International Center for Academics
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International school of Management and Technology
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Islington College
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ISMT College Biratnagar
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ISMT College Butwal
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ISMT College Chitwan
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ISMT College Pokhara
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Itahari International College
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Kashyap Institute of Engineering & Technology (KIET)
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Kathmandu College of Management
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KATHMANDU FORESTRY COLLEGE
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Kfa Business School and IT
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Kings College
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Lincoln International College of Management and IT
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Lord Buddha Education Foundation
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Mid valley International College
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Model Institute of Technology, (MIT) Nepal
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National College of Management & Technical Science
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Naya Aayam Multi-Disciplinary Institute
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Nepal Business College
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Nepal College of Information Technology
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NTP Tourism Affairs College
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Padmashree College
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Patan College For Professional studies
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Phoenix college of Management
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Pokhara lincoln International College
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Presidential Graduate School
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Silver Mountain School of Hotel Management
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Softwarica College of IT and E-commerce
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Stamford College Kathmandu
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Sunway International Business School
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Techspire College
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Texas College of Management & IT
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The London College
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The Westminster College
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Virinchi College
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Western Mega College
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Yeti International College