International
Nepali Workers Return Empty-Handed After Saudi Arabia’s ‘City of the Future’ Project Slows Down
By Ranjeet Yadav • 5/15/2026, 2:22:50 PM
Reading time: 4 min
15 May Kathmandu Hundreds of Nepali migrant workers who had gone to Saudi Arabia with hopes of helping to build the futuristic megacity project called NEOM are said to be coming back home empty-handed and without the jobs, salaries or the opportunities they were promised.
The workers came to Saudi Arabia expecting steady jobs and a better income from one of the world's most ambitious development projects. But many are returning now, with sudden layoffs, delayed wages, tough living conditions and uncertainty about the progress of the project.
🏗️ Dream Development Becomes Financial Burden
Launched by Saudi Crown Prince Mohammed bin Salman in 2017, NEOM was promoted worldwide as a futuristic “city of the future” that would include:
- AI
- Intelligent infrastructure
Mega projects of tourism
- Urban development, high-tech
The project involved workers from different countries such as Nepal, India, Bangladesh and Pakistan.
Many Nepali workers are said to have borrowed heavily to finance recruitment, visas and travel costs before flying to Saudi Arabia.
But returning workers say a number of contractors working on the project:
- Decreased number of workers
- stopped operations
- Belated payment
- Jobs terminated unexpectedly
leaving many migrants stranded without their financial security.
💰Returning Workers With Debt
Several workers say they are going home with:
- Unpaid wages
- Recruitment is expensive
- Loss of money
-No compensation
Some migrants reportedly borrowed money at high interest rates in Nepal to pay manpower agencies and expenses for overseas recruitment.
Workers overseas have lost jobs and families reliant on remittances are now under severe financial pressure.
Experts warn the situation could add economic hardship to many households already wrestling with inflation and unemployment in Nepal.
🇳🇵 Nepal’s Excessive Reliance on Foreign Jobs
Workers going abroad still constitute one of the biggest pillars of Nepal’s economy.
Every year, hundreds of thousands of Nepalis go to countries including:
- Saudi Arabia
- Qatar (Qatar)
- UAE
-Malaysia
Kuwait.
looking for work that you can’t get at home.
Remittances are a huge part of Nepal’s economy and help millions of families across the country.
But according to labour rights activists, Nepali workers are still highly vulnerable to:
- Breach of contract
- Job scams
- Unsafe work conditions
- Sudden layoffs overseas
⚠️ Alarm on recruitment system
The latest incident has rekindled criticism of Nepal’s overseas recruitment system.
Labour rights groups say many workers are:
- get fed with false promises
- Pay too much in recruitment fees
- No legal protection abroad
- Limited access to support during crises
But some experts say Nepal still lacks strong diplomatic and labour protection mechanisms for migrant workers in Gulf countries.
There are also increasing calls for more scrutiny of the manpower companies recruiting workers for high-risk overseas projects.
🌍 Saudi Arabia’s Mega Project Challenges
Even Saudi Arabia’s NEOM project has reportedly faced:
- Enormous cost overruns
- Late deliveries
- Restructuring the workforce
- Questions of sustainability in the long run
International reports say several original plans for the futuristic city have already been scaled back because of financial and logistical challenges.
Saudi Arabia continues to invest in big infrastructure projects, but analysts say the demand for labor is becoming increasingly volatile in some sectors.
🏛️ Nepal Government Under Pressure
The situation has created more pressure on Nepal’s government to:
- Support migrant workers returning home
- Look into recruitment practices
- Pay salaries that are due
- Increase labour diplomacy
Labour rights activists say Nepal needs to beef up:
- bilateral employment agreements
- Policies for worker protection
- Payment systems
- Support for returnees’ reintegration
Many economists also highlight the need for Nepal to create more domestic jobs to reduce the excessive dependence on foreign labour migration.
📌 Summary
For many Nepali workers, Saudi Arabia’s futuristic “city of the future” was a hope of financial stability and a better life.
Instead, many are now going home with debt, disappointment and uncertainty – yet again highlighting the precarious reality for thousands of migrant workers seeking opportunities abroad.
Tags: Nepal Migrant Workers, Saudi Arabia, NEOM Project, Nepal Labour Migration, Gulf Employment Crisis
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