INTERNATIONAL JOURNAL OF ACADEMIC EXCELLENCE AND RESEARCH (IJAER) e-ISSN: 3107-3913 ( Vol. 02 | No. 2 | April - June, 2026 )

Informal Trade at Raxaul-Birgunj Trade Point along India-Nepal Border: Socio-Economic Dynamics, Governance Challenges and Policy Pathways

Author: Mr. Ram Lal Bagaria

India and Nepal maintain one of the most deeply intertwined bilateral relationships, which is shaped by open border, cultural ties and economic interdependence. The significant amount of informal economic activity occurs outside official channels between India and Nepal. The study highlights the socio-demographic profile of informal traders on the basis of primary survey data. The study assesses the investment patterns of informal trade income and the obstacles faced by the informal traders. The sample consists of petty traders, farmers, shopkeepers, brokers and daily wage carriers. The findings of the study reveal that informal trade serves as a critical livelihood source for border communities. The respondents invest their informal income on children's education, healthcare and housing. The findings reveal that corruption, unpredictable enforcement and financial exclusion, constrain traders and increase their vulnerability. The study concludes with policy recommendations for reducing informality by the ways of regulatory reforms, trade facilitation and inclusive financial access.

Bagaria, R. (2026). Informal Trade at Raxaul-Birgunj Trade Point along India-Nepal Border: Socio-Economic Dynamics, Governance Challenges and Policy Pathways. International Journal of Academic Excellence and Research, 02(02), 208–214. https://doi.org/10.62823/IJAER/02.02.236

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DOI:

Article DOI: 10.62823/IJAER/02.02.236

DOI URL: https://doi.org/10.62823/IJAER/02.02.236

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