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The untold struggles of Nepali entrepreneurs in Finland

Shrwan Khanal

Shrwan Khanal

 |  Helsinki

Nepali diaspora in Finland participating in a Dashain celebration in 2023. (Photo Courtesy: Finnish Nepalese society)

The migration of Nepali workers dates back centuries, beginning with movement to neighboring India in search of livelihoods. Historically, Nepali migration was largely for subsistence, often involving work as security personnel or daily wage earners. During the era of absolute monarchy, obtaining a passport was highly restricted, largely reserved for government officials. For most ordinary citizens, the idea of traveling abroad, beyond India, was unimaginable. The establishment of democracy in 1990 marked a significant shift, making it easier for citizens to acquire passports and seek opportunities abroad. Nepal, a landlocked country bordered by India and China, soon saw its citizens migrating to third countries, including those in the developed West.

As this trend grew, Nepal’s economy gradually shifted from being agriculture-based to heavily reliant on remittances. The decade-long Maoist insurgency pushed many young people from rural areas to urban centres or abroad. The Gulf countries and fast-growing economies such as Malaysia and South Korea became popular destinations. Simultaneously, many pursued higher education in Western countries. Today, nearly one-third of Nepal’s population lives abroad, and remittances make up a significant portion of the country’s GDP.

Nepalis are widely recognized for their hardworking nature, embodied in the bravery of Gurkhas and Sherpas. Rooted in a popular saying of "earn your salt (nunako sojho)," this ethos motivates them to seek out opportunities, even in difficult circumstances. This article highlights how Nepalis have established themselves as entrepreneurs in Finland, a Nordic welfare state known for strong worker rights and a consumer culture attached to local traditions.

Unique challenges of entrepreneurship in Finland
Finland's welfare model does not naturally encourage entrepreneurship. Immigrant entrepreneurs often face additional challenges, such as strong labor unions, strict import regulations, and consumers who generally prefer local products. Finland's sparse population—just 16% of Nepal’s population spread over more than double the land area—adds to the challenge. Its long winters, darkness, and geographical isolation create further difficulties. Despite this, Finland regularly ranks among the world’s happiest countries and is renowned for its education system. In this demanding context, Nepalis have managed to build a strong presence.

The early years of Nepali migration to Finland
Nepalis began arriving in Finland in the late 1980s. Within a few years, Nepalis started opening their own businesses, competing with and eventually outnumbering Indian restaurants. Today, about 200 Nepali-owned restaurants are estimated to be operating in Finland. With a population of nearly 10,000 Nepalis, they have become one of the most prominent migrant groups in the country. In the past year alone, nearly 3,000 Nepalis received their first residence permit, making them the third largest group of new arrivals. Nepali students also now make up the largest international student group in Finland.

Some narratives of early arrivals
One key factor behind this growth in business is the relentless work ethic of Nepalis. In the early days, many worked long hours, sometimes without observing Finnish labor laws. Within families, informal working arrangements helped reduce costs and ensure survival. Although such practices have been criticised as exploitative, they reflect the reality of many desperate to build a future abroad. Early migrants often lacked Finnish language skills, one of the most difficult languages to learn.

Pradeep, who claimed to be among the first Nepali restaurant owners, recalls: "Brother, me and my wife worked continuously for 16 hours a day in our first restaurant when I started. I only had in mind how to survive in front of my previous boss who brought me here. It is a matter of pride not only to us but also to the entire Nepali community. By then, and for many more years, the Finnish knew Nepal only as Mount Everest, Gurkhas, and Buddha. Many even understood it as part of India."

Ram Kumar, who arrived two decades ago as a chef, shared his experience: "I don’t want to remember those days when I moved to Finland. I was alone here leaving my wife and two kids in Nepal. Can you imagine living alone for five years, far away from a family, and working in two to three restaurants seven days a week? Holidays? Which bird is that? You know I needed to show €3,600 salary a month to bring my children to Finland. How was this achievable by working in one place with a salary of €7–€8 an hour? In some places, I asked to show my salary and pay all the taxes. Later, there was news that these things were illegal, and it largely placed in the media as exploitation of labor. Here comes the true story. Of course, I do not mean to encourage any wrongdoing or punishable actions to be excused. There is a difference between culture and laws. While in Nepal, we wanted to leave at any cost. I remember my fellow friend who took the risk of entering the USA through the south part (tallo bato) paying NPR 6 million and ruining his life on the way. I don’t complain. I worked hard, learnt the business rules, learnt the language, and brought my family. Now, I run three restaurants that are doing well. I don’t want my fellow workers to suffer the same hardships I endured. I don’t blame my former employer, who gave me this opportunity -- that was just how the things were at that time. But now, the times have changed.

We should not forget this favor no matter how they have benefited from us. It is a win-win situation for both of us. Now, all are familiar with the rules and regulations in Finland. But, you know, how our seniors established the taste of Nepali cuisines among Finns who knew only limited food in Finland, that’s awesome."

"When I learnt the ABCs of Finnish entrepreneurship and the popularity of Nepali restaurants in the capital, I was clever enough not to compete in the capital and expand this to other cities in Finland," said Rebati, who runs several restaurants outside Helsinki. He further went on elaborating "Now, newcomers like me can start any place with few efforts since Finns are Nepali food lovers. Of course, you need to have cooking skills and customer service; nothing is straightforward. Either you enjoy working with others without any stress and live on the monthly salary, or take the risk. Business is always risky. Those who always blame and point to the entrepreneurs do not think about how many newcomers are recruited in this sector and how Nepali entrepreneurs struggled in Finland. Now, the challenge is to shift to authentic Nepali food, unlike the current 'butter chicken and tandoori naan' culture which is a blend of Indian cuisine.  It’s on the shoulders of our new generations to understand this transition."

As the Nepali population grew in Finland, business opportunities expanded. Initially limited to restaurants, the community has diversified. New businesses now serve the Nepali community, other South Asians, and increasingly, local Finns.

Laxman and Bharat were among the first to open a Nepali grocery shop. "We were graduates from Finnish universities but were not happy working for others. At that time, nothing was available in Finland to sell, and we took the risk of operating a grocery shop targeted at Indians and Nepalis. Surprisingly, a large portion of customers were local Finns who loved our spices, thanks to the seniors who introduced Nepali and Indian taste in Finland so that we could easily survive. It was not easy delivering heavy sacks of rice and other groceries in harsh (slippery and freezing) weather. You know, Nepalis eat a lot of rice, and there were hardly any families to whom we had not supplied rice and other groceries. Kids remember us as 'RICE uncle' in some families. We worked day and night without fetching any salary for a few years just to sustain the business. We never said 'no' to our customers. We even satisfied them by selling items instantly bought from neighboring competitor shops. But our customer service was super excellent and took us to the next level."

Sitaram, now in his forties, entered the real estate business. "I was living in a studio apartment sharing with other four mates. We were not allowed to register our address. Some in my position caught mental illness. I became mad with the struggles I had with housing and job issues when I landed. But suddenly I woke up and recalled that owning a house is a Nepali culture. You know, we didn’t have an apartment system in Nepal; a house means a complete house. But here in Finland, you are limited to a few square meters. I proposed to the seniors who had money but no idea about real estate. I hit it at the right time. Now I have several houses. I buy, sell, and rent. Don’t ask how many I have. I laugh these days when new youth complain about everything – even living in a shared apartment. You know, I now have a license to work as an agent to buy and sell houses. Imagine how big the market only focusing on our Nepalis who have money but think it’s a huge task to buy a house. I have now extended my clients to other South Asians for whom owning a house is culturally rooted and easy to convince."

Upendra, a young entrepreneur in his thirties, shared: "My boss (also a foreigner) recruited me as a moving helper. I worked too much with him but below the government rate. Several years of my hardworking age elapsed. By the time I arrived home, my back, hands, and legs were almost exhausted. I realized it wasn’t hard to register my own company and do the same job myself. I started my own business -- a moving company -- to help people to relocate smoothly. I now have a few delivery vans, and now work for myself and employ many others. You earn from the worst experience. If your mother serves you peeled banana, you never learn how to peel one, let alone understand the sorrow behind the banana arriving at your table."

Padam added: "I laugh at some people who spend all day playing with mobiles and computers and complaining and being jealous of others who have succeeded in this land. Look at the latest Tesla model I recently bought. People see this clean Tesla but do not think about how many litres of sweat I spilt to reach this position. I saw many Nepali fellows shouting at night while watching football and cricket. I quickly grabbed it as an opportunity and opened a club where they come and watch the games and enjoy live music. Of course, I ran into trouble and faced losses for a few years, but now I am satisfied.

Not only that, but I also created a cultural space where customers can experience traditional folk dances and authentic local cuisine. So, in every hardship, there are always opportunities."

New avenues and looking ahead
Recently, various forms of small entrepreneurship and self-employment have emerged among Nepalis in Finland. Some have started barber services and beauty care businesses, while others produce traditional Nepali foods such as momo, sel roti, and achar for home delivery. For some, these began as survival strategies and later evolved into long-term businesses. Also, some tech companies are established by young graduates and doing well. In addition, Nepalis are trying to influence policies by taking part in the municipal elections.

Currently, Finland faces a challenging job market with rising unemployment, including among native Finns. For new migrants, the difficulties can be even greater. Still, the stories and struggles of earlier arrivals may offer motivation and hope. The above narratives are evident in how challenges can be turned into opportunities.

(Shrwan Khanal is a researcher pursuing his doctoral degree on Social and Public Policy at the University of Helsinki.)



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