Prostitution is illegal in Nepal. The Human Trafficking and Transportation (Control) Act, 2064, Act Number 5 of the Year 2064 (2008), criminalises prostitution and living of the earnings of prostitution by including it in the definition of human trafficking. UNAIDS estimate there to be 67,300 prostitutes in the country. Government policies Although there are no laws in Nepal criminalizing sex work specifically, there are some laws that were enacted throughout the 1980s that criminalize trafficking within and outside of Nepal that are used towards sex work. Many of these laws are sometimes interpreted to accuse sex workers as well, which comes from a lack of knowledge in the distinction between the sex trafficking scene and sex work. Sex work is a term used to refer to all aspects of the lawful and unlawful sex industries around the world. There are various forms of sex work, including physical and verbal forms. This distinction is one that is not truly understood; thus, many of the policies and laws enacted within Nepal against trafficking—many argue—should not be applied to sex work. Authorities and laws trying to stop true slavery—trafficking—get misapplied to sex workers, clients and others involved in the sex industry. In 1986, the Traffic in Humans (Control) Act was passed in Nepal and was aimed at stopping trafficking in the form of prostitution. However, this act, like many others, proved to be ineffective, mainly due to the fact that the act was “largely aimed at criminalizing prostitution rather than curbing trafficking activities.” In 2008, the Human Trafficking and Transportation (Control) Act, criminalised prostitution and living of the earnings of prostitution by including it in the definition of human trafficking. Reasons for entering the sex industry For many, entering into the sex industry is the only way in which they could survive economically in Nepal. However, sex work is not officially recognized among the industrial or service sectors of labor. There is a large case of sex trafficking in Nepal, but voluntary sex work is more common than many believe. Among the developing poor nations throughout Southeast Asia today, Nepal remains one of the most poverty-stricken. Research shows that about 38% of the Nepali population is living under US$1 per day, and 82% under US$2 per day. Due to this high rate of poverty, the rural poor Nepalese people generally have large families, are landless or have very small landholdings, have high rates