The adoption of the Internet of Things (IoT) in developing economies is often constrained not only by technological and financial limitations but also by inadequate policy and regulatory frameworks. In Nepal, while IoT initiatives are gradually emerging, the absence of coherent policies, unclear regulatory guidelines, and limited institutional coordination continue to hinder large-scale implementation. This study critically examines the policy barriers affecting IoT adoption in Nepal from an industry-led perspective, focusing on how regulatory gaps influence technological deployment and innovation.
A mixed-method approach was employed, combining quantitative data collected through structured questionnaires with qualitative insights from industry professionals engaged in IoT-related activities. The analysis evaluates key dimensions such as regulatory clarity, institutional support, data governance, standardization, and policy awareness. Descriptive statistics and reliability analysis were conducted using SPSS, while qualitative responses were thematically analyzed to identify recurring challenges and industry concerns.
The findings reveal that policy-related barriers are among the most significant constraints to IoT adoption in Nepal. Key issues include lack of clear regulatory frameworks, weak enforcement mechanisms, limited data protection policies, and insufficient coordination among governing bodies. These challenges create uncertainty for industry stakeholders, reducing investment confidence and slowing innovation. While technological readiness and market potential exist, their impact is constrained by an underdeveloped policy environment.
This study contributes to the literature by providing an industry-focused empirical analysis of policy barriers in IoT adoption within a developing country context. It offers practical recommendations for policymakers to design clear, supportive, and forward-looking regulatory frameworks that can enable sustainable IoT ecosystem development in Nepal.