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Lithospheric deformation signal can be detected by combining data from continuous global positioning system (CGPS) and satellite observations from the Gravity Recovery and Climate Experiment (GRACE). In this paper, we use 2.5- to 19-year-long time series from 35 CGPS stations to estimate vertical deformation rates in Nepal, which is located in the southern side of the Himalaya. GPS results were compared with GRACE observations. Principal component analysis was conducted to decompose the time series into three-dimensional principal components (PCs) and spatial eigenvectors. The top three high-order PCs were calculated to correct common mode errors. Both GPS and GRACE observations showed significant seasonal variations. The observed seasonal GPS vertical variations are in good agreement with those from the GRACE-derived results, particularly for changes in surface pressure, non-tidal oceanic mass loading, and hydrologic loading. The GPS-observed rates of vertical deformation obtained for the region suggest both tectonic impact and mass decrease. The rates of vertical crustal deformation were estimated by removing the GRACE-derived hydrological vertical rates from the GPS measurements. Most of the sites located in the southern part of the Main Himalayan Thrust subsided, whereas the northern part mostly showed an uplift. These results may contribute to the understanding of secular vertical crustal deformation in Nepal. [ABSTRACT FROM AUTHOR]