Legalize Second-Hand Mobile Business in Upcoming Budget: Federation of Nepalese Mobile Entrepreneurs
27th May 2026, Kathmandu
The Federation of Nepalese Mobile Entrepreneurs has urged the government to formalize and legalize the second-hand mobile phone business through the upcoming fiscal budget.
Legalize Second-Hand Mobile Business Budget
Speaking at an interaction program titled “Upcoming Budget and Shared Issues of Industrialists and Entrepreneurs” organized by Arthabazar.com in Kathmandu, the Federation’s President, Ramesh Ghimire, highlighted that the current unregulated market is causing a massive loss in government revenue.
Why Nepal Needs to Legalize the Second-Hand Mobile Market
According to Ghimire, a significant volume of second-hand mobile transactions currently happens through informal channels in Nepal. By establishing clear legal frameworks and implementing a fixed tax structure, the government could tap into a brand-new revenue stream.
“Legalizing the second-hand mobile trade under definite revenue guidelines will ensure that Nepalese capital circulates within the country,” Ghimire stated.
He added that this practice is highly successful abroad, where Nepalese expats and locals alike safely purchase refurbished or used phones from official stores with legitimate bills and warranties.
The Legal Trap of “Lock-Unlock” Services
Mobile repair technicians and shop owners in Nepal frequently face police detention due to a lack of clear tracking policies. Customers often bring phones to shops to unlock passwords or bypass software locks.
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The Dilemma: Entrepreneurs have no definitive way to verify whether a device belongs to the customer or is stolen property.
The Consequence: If a device turns out to be stolen, innocent tech business owners are often arrested and held legally liable.
Ghimire urged the state to implement a transparent, clear-cut verification policy for mobile repairs, promising that Nepalese entrepreneurs will strictly adhere to the guidelines to avoid criminal liability.
Digital Payment Risks for Mobile Retailers
The push toward a cashless economy has also inadvertently created loopholes that exploit honest business owners. Ghimire pointed out that online payments via digital wallets or mobile banking are increasingly landing retailers in trouble.
When a customer pays for a phone or a repair service digitally, the business owner accepts the funds in good faith. However, if those funds are later traced back to a cyber scam, online fraud, or banking theft, the police routinely freeze the retailer’s bank accounts or detain them for investigation.
| The Problem | The Impact on Entrepreneurs | The Requested Solution |
| Illicit Used-Phone Market | Lost government revenue & lack of consumer trust. | Tax-paying framework for second-hand sales. |
| Device Unlocking | Unintentional handling of stolen goods leads to arrests. | Clear verification and registration policies. |
| Digital Payment Fraud | Retailers’ accounts frozen due to third-party fraud. | Fraud protection and fair verification laws for merchants. |
A Call for a Secure Business Environment
The Federation has demanded that the upcoming budget address these regulatory gaps. Nepalese mobile entrepreneurs are asking the state to shift the burden of proof away from innocent service providers and create a secure, legally compliant environment that fosters both digital adoption and safe entrepreneurship.
