KATHMANDU: Nepal Rastra Bank (NRB) has issued a public notice restricting the unauthorized digital payment partner from carrying out the transactions.
NRB issued a public notice urging the banks and financial institutions (BFI) to abstain transactions with the companies or organizations which have not taken NRB’s permission to do so.
“Nepal Rastra bank has received the information that some banks and financial institutions have included the companies and agencies which have not taken NRB’s permission for digital transaction as digital payment partners,” the notice issued by NRB reads.
Stating that NRB has noticed that some banks and financial institutions have been handling the transactions with digital companies irrespective of whether they have taken formal permission or not, the central bank has urged all such institutions to ensure that they are licensed for such transactions.
However, the notice issued by the bank has not restricted the digital payment partner provision itself, rather it has tried to regulate such transactions only.
“The public notice issued by the bank does not cancel or ask all organizations to cancel the digital payment partnership with such companies or institutions,” said Bhuwan Kandel, the executive director of Payment System Department, “It merely wants such transactions to be done through authorized companies or institutions.”
In the notice the central bank has included the list of the institutions authorized as Payment System Operators(PSOs) and Payment Service Providers (PSPs).
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