How can Nepal achieve its Potential of Wellness Tourism

The Global Wellness Market

Global Wellness Tourism as of 2023 had a market value size of USD 923.6 billion and has a revenue forecast of USD 2.1 Trillion with a growth rate (CAGR) of 12.42% between 2023-2030 which suggests that the industry is growing significantly. The report has also provided the segments which account for the largest market share and lodging segment dominates with a market share of 23.7% in 2022. The rise of the lodging market is mostly due to the growing presence of upscale and luxurious hotels and resorts in well-known travel locations. One of the main factors propelling the market's expansion is the growing demand for wellness services due to the growing number of tourists worldwide. Moreover, it is anticipated that wellness tourism will benefit from rising tourist related spending as well as elevated awareness of mental and physical health.

When it comes to Wellness Tourism, the West and the East have their distinguishable features. Countries like USA, France, Germany mostly specialise on modern wellness trends that includes, Medical Tourism, Fitness programs, luxury spas and personalised health services. For instance, USA’s integrated health resorts with techs like sleep enhancing rooms and medical diagnostics, Germany’s thermal baths and France’s seawater-based thalassotherapy. Nepal on the other hand similar to other Asian countries like Thailand, Indonesia and India has raw ingredients like, authentic, traditional wellness practices that are deeply rooted in the nations culture. Be it Avurveda, Yoga, Meditation, Spiritual Healing, herbal therapies or Buddhist mindfulness practises. But the difference is that these countries are able to sell what they have to the global market but Nepal despite having similar ingredients in addition to its majestic landscape has been far behind. Which now leads us to the key part of this component, Nepal’s potential in Wellness Tourism and how it can be achieved.

Integrated Approach

There are quite a few institutions in Nepal offering wellness related programs, and some have integrated them with tourism. However, the number of institutions is still not enough to significantly boost the country’s economy, and the industry could certainly do more than it currently does. Earlier we mentioned how lodging segment dominates the market and Most of the institutions, in many cases in Nepal are basic and have not been able to combine their offerings with luxury to attract high end customers. While a few have succeeded in offering luxury experiences, even these could do much more. One of the main challenges is the fragmentation within the industry, with most institutions acting independently, leading to a lack of interconnectedness and coordination. Nepal lacks structured wellness tourism routes that would allow travellers to seamlessly transition between businesses. For example, Indonesia and Thailand have successfully integrated businesses and this has helped their wellness tourism sectors thrive.

An excellent illustration of integrated wellness tourism is Bali's Ubud Wellness Circuit, which follows a planned itinerary starting with yoga and meditation retreats in Ubud, followed by Ayurvedic detox in Tabanan, and ending with luxury relaxation in Canggu. Luxury resorts like COMO Shambhala partner with mid-sized wellness centers and small businesses such as organic farmers, yoga instructors, and herbal healers, benefiting from this collaboration. This system guarantees a smooth wellness experience, allowing independent retreats to gain repeat clients while upscale resorts add authentic local elements to their offerings.

Nepal could follow a similar structure to get the most out of its current wellness offerings and allow new businesses to enter the market. A structured wellness circuit with premium wellness resorts in strategic locations could be developed, for instance, connecting Kathmandu (spiritual wellness) to Pokhara (yoga & nature) to Chitwan (detox & Ayurveda) to Mustang (high-altitude retreats). This would allow travelers to experience a full wellness journey while moving between locations.

Nepal isn’t known for big spenders and one sector where big spenders do visit is Mountaineering and Nepal could capitalize on the few high spenders who come for trekking expeditions by offering post expedition recovery packages. Offerings like, hot spring therapies utilising natural hot springs, Sleep therapy and relaxation retreats to recover from high-altitude insomnia and fatigue, massage and physiotherapy programs, yoga and meditation tailored for mountaineers to name a few. A trekking company could partner with wellness retreats to offer recovery focused wellness packages, helping adventure tourists recover from their climb while enjoying Nepal’s wellness offerings.

By implementing referral partnerships and integration, Nepal can create a thriving wellness tourism industry that attracts a wide range of customers and encourage the growth of the sector moving beyond budget travelers to luxury wellness market.

Government Involvement

If Nepal is to take a leaf in the wellness industry it is vital for the Government to step up. It is important to have maximum Public-Private coordination. Thailand, Indonesia and India all have strong government backing. For context, Bali’s Sanur Health SEZ shows how strong government backing can transform wellness tourism into a high value industry. With over $145 million already invested and a target of $650 million by 2030, the Indonesian government has created an integrated hub combining hospitals, yoga centers, traditional healing rituals, and eco-conscious design. Through strategic partnerships like the Mayo Clinic, streamlined regulations under a national action plan, involvement of state-owned enterprises, and global promotion, Bali aims to reduce $10 billion in annual medical tourism losses, create 43,000 jobs, and attract 140,000 medical tourists each year. This model highlights the power of public-private coordination and policy support in scaling wellness tourism sustainably, a lesson Nepal can embrace to leapfrog in this emerging sector.

Nepal may not have the scale or resources to replicate Bali’s wellness SEZ model overnight, but it can take practical steps to grow the industry through strong public-private collaboration. The government could start by formulating a clear national wellness tourism strategy, identifying key locations as wellness zones, and providing incentives for their development. Rather than large scale investment, Nepal can offer targeted support such as tax breaks, low interest loans, or fast tracked permits for private investors building eco-lodges, yoga centers, or detox retreats. Forming public-private wellness councils would help align goals, set quality standards, and ensure sustainability and cultural authenticity. Engaging the Nepali diaspora especially wellness experts, health professionals, and entrepreneurs abroad could bring valuable knowledge and investment back home. Additionally, the government can partner with businesses to co-create a strong international brand for Nepal’s wellness offerings and invest in global promotion through expos or themed wellness weeks. With a clear plan, local engagement, and enabling policies, Nepal has the potential to position itself as a boutique wellness destination rooted in nature, tradition, and mindful living.

Tapping into Domestic Market

One often overlooked aspect of Nepal’s wellness tourism potential is the role of domestic travelers. Unlike in countries like India or Thailand, where locals actively engage in wellness tourism from yoga retreats to Ayurvedic spas Nepalese people haven’t fully embraced it yet. But for the industry to thrive long-term, we can't rely solely on international visitors. A solid domestic market provides a stable foundation for wellness businesses, allowing them to sustain and grow even when foreign tourism fluctuates due to political or global factors. The good news is, Nepal has a growing base of people ready to invest in wellness, ranging from high net-worth individuals seeking luxury escapes to an expanding middle class interested in affordable wellness getaways (The Kathmandu Post, 2025). The key is offering diverse experiences that cater to both ends of the market. Luxury resorts can continue to target high spenders, but there’s also room for mid-range options that provide meaningful wellness experiences like weekend yoga retreats or nature-based healing stays. Wellness doesn’t always have to be exclusive, and with collaboration between the government and private sector to make wellness offerings more accessible and culturally relevant, we can spark greater domestic interest. This could provide the solid foundation the wellness tourism industry needs to truly flourish.

Branding and Marketing

When it comes to operating in a competitive market, the one thing that matters the most is branding and Marketing. This article has already established that some of the top performers in South-East Asia and South Asia have in many ways similar offerings to Nepal although Nepal might have its Unique Selling point. If Nepal is to put itself in the Map as one of the top destinations for wellness tourism there needs to be a solid plan in place to promote what we have to offer. Nepal severely lacks, private sector Unity, policy support and strategic branding and needs a significant improvement if it wants to achieve its Potential.

When it comes to marketing, Nepal needs to have a solid short term and long-term plan. As mentioned earlier Nepal may need to upgrade on many fronts to be competitive in the industry. But First and foremost, Nepal needs to bring its wellness sector together. Right now, there’s no major national level alliance like Thailand’s Wellness Association or India’s Ministry of AYUSH. The scene is highly fragmented yoga studios, spas, and retreats are doing great work individually, but they’re disconnected. Small groups exist, like the Pokhara Yoga Society or the Nepal Ayurveda Medical Association, but their focus is either too localized or too clinical, and they lack a tourism marketing angle. Even larger bodies like hotel associations or the Nepal Tourism Board (NTB) aren’t wellness specific. NTB runs broad campaigns like "Visit Nepal," but there’s no dedicated wellness desk, no wellness certification system, and no structure to promote Nepal’s holistic healing potential as a unified offering.

Because of this, Nepal lacks a central private led wellness alliance that can create a clear and trustworthy brand. There’s no “Wellness Nepal” identity, no shared booking platform, and no collective marketing force to put the country on the global wellness map. Some informal networks and collaborations do exist like, retreat centers tying up with trekking agencies but they’re not scalable or consistent. This gap presents a massive opportunity. A private led but coordinated alliance like, Nepal Wellness Collective would not only unify the sector but also pool funds for branding, attend global trade shows, build a shared platform, and create a recognizable identity. It also provides opportunities for companies involved to operate with a strong digital marketing presence, from SEO, Social Media dominance, influencer collaboration to aggressive international campaigns. Businesses under this umbrella would benefit from increased visibility, trust, and international reach something that fragmented efforts alone can’t achieve.

But on the longer run the Government has to up their game to truly put Nepal in the Map as a prominent figure of the industry. A private-led collective can definitely get the ball rolling but let’s be honest, Nepal won’t become a global wellness hotspot without serious support from the government. In the long run, the government really needs to step up if Nepal is to be seen as a major player in this space. Other countries are already ahead Thailand has a dedicated Wellness Tourism Board offering visa perks and international campaigns, and India runs focused programs like “Heal in India” through its tourism ministry. Meanwhile, in Nepal, wellness still gets lumped into general tourism with no clear direction or support. Roads to few of the existing beautiful retreat spots are still rough, electricity can be unreliable, and direct flights from key markets like Europe or the US are limited. On top of that, there’s very little collaboration between the government and private businesses, unlike in Thailand where resorts and spas work hand-in-hand with officials. For Nepal to compete with destinations like Bali or Phuket, the government needs to invest in wellness focused infrastructure, ease of access, streamlined visa policies, and global branding efforts. It is also essential to partner with international wellness brands to establish global credibility. Only then can the full potential of Nepal’s natural and spiritual wellness offerings be realised on the world stage.