In Nepal, tourism is the second largest industry after agriculture. Furthermore, Nepal offers numerous
opportunities for adventurous outdoor recreation, especially in the Himalayas, and attracts tourists
from all over the World. However, future prosperity of Nepal’s tourism industry might be affected by a
changing climate and a socioeconomic environment. A log-level regression model is employed to
estimate the impact of climatic and socioeconomic factors on the number of international tourists
visiting Nepal. Climatic estimates indicated that an increase in temperature did not have a significant
impact on the numbers of international tourist arrival. Results show that the number of international
tourists visiting Nepal was positively associated with GDP and population growth, inflation rate, and
an exchange rate. These results help policy makers for facilitating growth of tourism industry and its
adaptability to climate change in Nepal.