Kathmandu, Jan. 7 -- Most luxury hotels have slipped back into losses following the violent, anti-corruption Gen Z protests that erupted in early September and hit the country in the middle of its peak tourism season. The outlook remains bleak, with industry insiders warning that snap elections scheduled for March 5-during the spring peak season-could trigger fresh rallies and demonstrations, further unsettling tourist flows.

According to first-quarter (mid-July to mid-October 2025) financial statements of hotels listed on the Nepal Stock Exchange, the hospitality sector, which had been gradually recovering from the Covid shock and a subsequent economic slowdown, suffered a major setback after the September unrest. Most luxury properties...