This report is the first attempt to consider in a systematic and holistic way the main features and dimensions of foreign labour migration and the contribution of remittances from abroad to the economy of Nepal. It examines the impact of current policies, institutional features and the legal framework adopted by successive governments on the promotion of foreign labour migration. It investigates the significance of labour migration and remittances for Nepal's economy, the effects of a shortage of skilled labour, and the processes involved in travelling abroad for work. It draws attention to the pattern of migration from different segments of society and the problems faced by migrants, with particular reference to the trafficking of women and children across national borders.