Nepal is a landlocked country between China and India. The natural landscape consists of valleys and plains in the south and the awe-inspiring Himalayan Mountains in the north.
From 2007 to 2008, Nepal's tourism declined by five percent, compared to an increase of 37.2 percent from 2006 to 2007. The majority of this decline was in cultural travel; there was actually an increase in the trekking and mountaineering sector.
According to the 2008 Annual Report of Nepal Tourism Statistics, there was a 52.6 percent increase in tourism revenue from 2007 to 2008. Revenue increased from approximately $231 million to $352 million, respectively.
Nepal's tourism department attributes the decline to the global recession. However, economic indicators demonstrate that those who can afford to visit are spending more money in Nepal's tourism sector.
Another contributing factor to the decline in Nepal's tourism was a civil war with Maoist rebels and the Nepalese government. While the war has ended, continued fighting between political regimes occasionally prevents international travel into Nepal.
